The North East’s largest independent contract cleaning and facilities management business is aiming to become a truly nationwide business with the help of a second six-figure investment from The Finance for Business North East Growth Fund.
Maxim Facilities Management Limited (Maxim FM) provides commercial contract cleaning and facilities management services to public and private sector clients, and already works with a growing number of blue chip corporate clients.
Late last year, the North East BIC based firm worked with regional fund management firm NEL Fund Managers, which administers the Growth Fund, to secure an initial investment from it, which has been used to help grow and develop the services Maxim offers to both existing and new clients both within and outside the North East, and to further strengthen its sales team through the appointment of a new sales director.
The Maxim management team has now gone back to NEL for a second cash injection, which among other things, they are investing in new technology systems which will streamline the way in which contracts are managed and enhance the information available to clients about the standards being achieved at their premises.
Founded by managing director Graham Conway in late 2010, Maxim FM is on track to achieve annualised revenues of around £5m, and is aiming to increase this figure to around £15m within the next five years.
In recent months, Maxim has acquired both Glasgow-based commercial cleaning and window cleaning contractor Ross Cleaning Services, and the contract cleaning division of regional competitor New Life Cleaning Systems (North) Ltd, which has taken the total number of people it employs past the 500 mark.
New clients have been secured this year in the North West, Yorkshire and the Midlands, as well as within the North East, and with further management structures being put in place, Maxim is set to establish a footprint right across the UK.
Graham Conway says: “Our intention has always been to grow a national contract cleaning business offering wider facilities management services, and we’re well on the way to achieving that ambition.
“The new systems we’re putting in place will allow clients to view all aspects of their cleaning service provision online, including audits of cleaning standards and ongoing customer satisfaction scores. This will further improve our clients experience of working with us, whilst at the same time help us to drive efficiencies and reduce our environmental footprint.
“We’re growing the business both inside and outside our home region, and while we already have clients throughout the UK, we’re now putting the nationwide structures in place that will help us consolidate what we’ve already achieved right across the country.
“Our relationship with the NEL team has been very positive since their first investment, with the input they’ve had into the business proving extremely useful, and it was a natural step to go back to them for further funding.”
David Thomas, investment executive at NEL Fund Managers, adds: “The progress that Maxim FM has made over just nine months has been extremely impressive, and the opportunity presented to us to invest in the next stage of their development looked very sound.”
Maxim FM were advised on the Growth Fund investment by Ryecroft Glenton Corporate Finance and Square One Law LLP
Aimed at regional businesses which are at a development and growth stage, the Growth Fund forms part of the wider Finance for Business North East Fund.
Managed by North East Finance, it will see £125m of investment capital injected into the region by the European Investment Bank and the European Regional Development Fund 2007-13 over a five year period.
NEL is looking to make around 130 investments over the five-year life span of the Growth Fund, and is actively looking to speak to ambitious north east companies with robust business plans.
For more information about NEL’s investment criteria, visit www.nel.co.uk or contact the investment team on 0845 111 1850.
The ERDF 2007-13 programme is bringing over £300m into North East England to support innovation, enterprise and business support. It will help create and safeguard 28,000 new jobs, start 3,000 new businesses and increase the region’s productivity by £1.1bn per annum.
