An audio-visual and IT equipment supplier is expected to grow its turnover by 50% following a management buyout.
The restructure will see managing directors of IDN Supplies, David Shuttleworth and Darren Clayman take full control of the company following the departure of majority shareholder Gareth Stocks.
The deal allows the firm to push forward with its ambitious growth plans, which will see turnover hit £37 million within five years and staff numbers increase by 30%.
The predicted revenue boost will be driven by the expansion of the company’s bidding team, which will add five new roles over the next 12 months, enabling IDN Supplies to pitch for a wider range of large-scale contracts.
The financial support for the management buyout was provided by Lloyds Bank Commercial Banking and included a multi-million-pound tailored funding package, which consisted of a term loan and working capital facility.
Established 30 years ago as a typewriter ribbon retailer, IDN Supplies now provides IT and audio-visual equipment to business and education centres across the country.
Over the past 10 years, the company has experienced phenomenal growth, increasing its turnover by more than 200% and employing 60 people from across the local area. In 2017, IDN Supplies was named business of the decade at the Bolton and Bury Business Awards.
Managing director David Shuttleworth said: “We’ve been planning the management buyout for well over 12 months and Gareth leaves the company in an extraordinarily strong position.
“The funding we’ve received from Lloyds Bank has provided us with financial headroom needed to push forward with our growth plans, and over the next 12 months we hope to expand our client base by 15 per cent.
“Undertaking a management buyout can be a stressful process, but our advisors and the team at Lloyds Bank, led by Alistair Pike and Rob Walters, were a great support throughout and were able to arrange a funding package that was exactly suited to our needs.”
Alistair Pike, relationship director at Lloyds Bank Commercial Banking, said: “Not only do management buyouts empower business leaders, they can also provide a significant catalyst to drive investment and explore new avenues for growth.
“IDN Supplies offers a market-leading service thanks to its highly motivated and experienced team, and with David and Darren at the helm, the firm can now build on this excellent reputation.”
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