A road haulage company based in Leeds which launched last year and now has clients including Royal Mail is gearing up for further growth after securing a finance deal.

Davies Haulage has extended its invoice finance facility from specialist lender and savings bank Aldermore.

The company initially agreed a £20,000 facility with Aldermore to help the business in its early days. Less than a year later, Davies Haulage has extended this by five times the original amount to £100,000, in order to accommodate further growth of the business and its customer base by purchasing two additional trucks for its fleet of freight transport vehicles.

The company has also hired two more drivers in order to fulfil the growing demands for their services.

In the last 12 months, Davies Haulage has grown its customer base from 13 to 16 customers and evolved from smaller, local companies to larger, national companies, including Royal Mail.

Michael Davies, director of Davies Haulage, said: “When Aldermore provided the first invoice finance facility to our business less than a year ago I was very happy with the good service and their quick turnaround. We have since grown our business and hired more drivers in order to service our increasing client base. We see a growing demand for same day and next day delivery services and the company is well placed for future growth.”

Sally Danskin of Aldermore said: “Cash flow is a common problem in the haulage sector and it’s great to see how the recent finance facility we provided has helped Davies Haulage to win new customers and take on more staff because they were able to purchase two more vehicles to increase their fleet and service their customers. Davies Haulage is a thriving business for Aldermore to support with real growth potential.  We are looking forward to working with Michael over the coming years and hope to see his business continue to expand in the future.”