Knibbs Computer Services is a successful IT services company in the South-East. Since forming in 1998 the company has grown quickly. The IT industry moves fast, so businesses also have to move rapidly and stay up to date. Over time Knibbs Computer Services has grown into a full IT and communications managed services provider of Microsoft and related solutions, both on-site and in the cloud.

When founder and managing director, Tim Knibbs, decided to build on that growth and go after bigger clients he knew he needed to manage the inevitable strain on cash flow that success would bring.

“We were growing quickly and we needed a cash flow solution that would allow us to project that growth while keeping cash in the business,” explains Tim. “Growth brings cash flow challenges. As we take on more and larger contracts we have to tie up cash in procurement for our customers.”

Like many business people in this position, Tim looked at traditional banking and factoring solutions. “I found them inflexible and unwieldy,” says Tim. “I also didn’t like the all-or-nothing nature of factoring, the application process is hard work, and it’s expensive.”

Having chosen to ignore bank loans and factoring, Tim considered injecting his own capital into the business, “Not the best idea for smoothing cash flow,” he says. “The main reason to build cash in the business was to give us flexibility.” But then, by chance, Tim came across URICA. “I think I was reading an article about Digby Jones at the time that mentioned URICA. I decided to look into it. If I’m honest it sounded too good to be true but I gave URICA a call and it wasn’t. And the fact we don’t have to put everything through URICA means we can make that decision as we see fit.”

“…If I’m honest it sounded too good to be true but I gave URICA a call and it wasn’t…”

Tim quickly spotted another advantage of using URICA. He explains, “As we’ve acquired bigger clients we’ve realised that, typically, they want payment terms of 60 to 90 days. We now use URICA in our negotiations and introduce the idea of extended terms early in the process. When we’re up against another supplier, saying we can give you 90 days and, what’s more, we’re not going to charge you for it, wins us business. We’ve definitely secured contracts that previously we may have lost.”

“…Being able to offer extended terms also gives potential clients the confidence that our business is competent and established. This means we can go after sizeable projects…”

Looking ahead, Tim has aggressive growth plans for Knibbs Computer Services. “We’ve embarked on a programme of acquiring more and larger customers. URICA helps us here because we don’t find ourselves turning down contracts because they’re too big,” Tim clarifies. “Being able to offer extended terms also gives potential clients the confidence that our business is competent and established. This means we can go after sizeable projects.

“By being flexible, and easy to do business with, URICA ticks all our boxes. It’s a powerful proposition. I recommend URICA all the time.”

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