Nufab Engineering secures funding

A relaunched company has raised £25,000 from a not-for-profit fund. Nufab Engineering, formed in a management buy-out of the collapsed FTW Engineers, is now helping to re-build engineering and steel making in Motherwell, which was once home to the Ravenscraig steelworks. It was set up by former FTW directors William Ferguson and Alan Tomkinson, who put together a management buy-out. With support from a ‘business angel’ and the ethical lender DSL Business Finance, they have secured 19 jobs and recruited two more staff.

The firm has contracts with companies in the power generation, oil and gas and mining industries — such as Aggreko, Terex and Brandt. It also supplies the Glasgow sculptor Andy Scott with the huge brackets that hold together his works of public art, including the 30ft-high Arria in Cumbernauld (pictured), which is made of steel. The firm also supplies miniature versions of his unusual sculptures and replicas made from laser-cut steel. DSL, based in Glasgow, runs a £1.5 million loan fund for small and start-up businesses. Under the Government-backed Enterprise Finance Guarantee scheme, it can lend up to £30,000 to firms even if they have been turned down by the banks, are considered high-risk or have no security.

Nufab Engineering has a projected turnover of £1.2 million and more than 80 customers across the UK. Mr Ferguson said: “We knew the business was viable; it had just got into financial difficulties. Alan and I put up a substantial amount of our own cash to get the business off the ground, plus we approached DSL for a further £25,000 to plug the gap after hearing about them through the Business Gateway.”