Model train maker Hornby secures £12m facility from Secure Trust Bank
Leading UK model train manufacturer Hornby has secured a combined £12m facility to meet its working capital needs over the coming years to meet demand and serve the global market.
The company, which trades as Hornby Hobbies Ltd, secured the facility from Secure Trust Bank Commercial Finance. It consists of a £6 million accounts facility and a £6 million inventory facility.
Hornby, which is headquartered in Margate, Kent, develops, produces and supplies leisure and toy products to the global market. Founded in 1901, Hornby brands also include Scalextric, Airfix, Humbrol and Corgi. With offices in the UK, Americas, France, Germany, Spain and Italy, the company employs over 200 people worldwide.
After a recovery in business in recent years and a new management team in 2017, there has been a substantial turnaround, with sales growing and a return to profit. In 2019, Hornby reported turnover of £32.6m, which rose to £37.6m in 2020 and £45.9m in 2021.
Lyndon Davies, Managing Director of Hornby, said:
“The past few years have been transformational for Hornby. Our priority has been to keep the business on track and to thrive for the millions of collectors and enthusiasts around the world. Since welcoming our new management team, we have expanded our workforce, improved our knowledge of the market and established partnerships with the best manufacturers.
“The support we’ve received from Secure Trust Bank should prove invaluable, and this new facility will help us continue to create timeless products that our customers love. Their commercial finance team took the time to fully understand our business needs, which made the process quick and easy. »
Tony Young, London and South East Regional Sales Manager at Secure Trust Bank Commercial Finance, said:
“It was a pleasure working with Hornby and getting to know the management team. Hornby is a household name and the success of the past few years reflects the hard work and dedication of its team. With this facility in place, Hornby can continue to thrive and invest in a legacy that began over a century ago.