Published: October 19, 2015
Region: Wales
Cost saving is key to success for any charity, and with a Unity refinance package, Seren Ffestiniog was able to save £8,000 a year. Seren Ffestiniog provides care, support and employment opportunities to people with learning disabilities across Gwynedd.
The Furniture and Textiles Centre run by Seren Ffestiniog based in Blaenau Ffestiniog takes good quality, unwanted furniture and household items and sells them at reasonable prices. It also employs people with disabilities to deliver the service and gain work experience. It has a number of textile/clothing banks situated at a number of amenity sites throughout its area.
The charity originally rented its current 6,000 ft industrial space. In 2005 was able to take advantage of 100% loan finance offered by the Welsh Government’s Community Investment Fund. This was managed by the Wales Council for Voluntary Action. The loan allowed them to purchase the premises. Over the years both the Furniture and Textiles Centre has flourished. Their success has meant Seren was able to seek a sustainable, commercial loan from Unity Trust Bank.
Linda Jones is the Managing Director of Seren Ffestiniog. She said of the loan: “Public sector cuts continue to hit charities like ours. So, it is vital that we find new, innovative ways to diversify our revenue streams. The profitability of the Furniture Centre and textiles business means we have been able to shop around for better mortgage finance. We needed more competitive charges and more importantly, something that saves us money. This capital can be reinvested back into other areas of the charity. Our £250,000 remortgage with Unity means we now make a saving of £8,000 a year on repayments.”
The charity has been seeking the right loan finance since 2013. But, it received limited interest from its usual high street bank provider. It was introduced to Unity Trust Bank. We are a specialist bank for organisations and businesses that aim to create community, social or environmental benefit by the Community Investment Fund.
Linda Jones said: “From the outset Unity Trust Bank took an interest in what we do. They were enthusiastic about providing finance support and forthcoming with information about the options available to us. There was no pressure, just clear and helpful guidance that clearly made sense from a financial perspective. We’ve been so impressed that we are in discussions with Unity about switching all our banking services to them.”
