SIA Group conducted collateral due diligence to enable Arbuthnot Commercial ABL to complete the funding of OSET Bikes Limited.

OSET Bikes is the world’s leading designer and manufacturer of electric trial, dirt, off-road and motocross motorcycles for children. The thorough and rapid accounts receivable survey and inventory appraisal from SIA Group enabled Arbuthnot Commercial ABL to structure a working capital facility to power the growth of the business, which is looking to double its sales by 2021.

OSET is now in over 25 countries around the world and its electric bikes are recognised globally as the best beginner bikes for children to learn and improve their motorbike skills. The range of OSET bikes is ever expanding, with ten bikes currently available – catering to riders from 3-18 and beyond. OSET bikes are proven in competitions, taking multiple National level victories against petrol powered machines. They are electric and silent, so the riders can learn at home after school every day, without any noise pollution.

“Character and commerciality are not always qualities that you would typically associate with collateral due diligence, however in our experience of working with SIA Group, these
factors made all the difference. The team were very commercial, responsive and user-friendly and supported the funder in adding certainty to the process.”

Rikki Dinsmore, Group Global Managing Director at OSET Bikes commented: “SIA Group worked closely with our logistics provider at our premises in Loughborough to conduct a thorough, detailed and time-efficient collateral due diligence.Their experienced team put together an incisive report which enabled the transaction to be funded quickly.”

He continued: “Character and commerciality are not always qualities that you would typically associate with collateral due diligence, however in our experience of working with SIA Group, these factors made all the difference. The team were very commercial, responsive and user-friendly and supported the funder in adding certainty to the process.”

Tim Hawkins, Managing Director of Arbuthnot Commercial ABL said: “Arbuthnot Commercial ABL is all about delivering creative deal structures to tight timeframes. In this transaction, inventory comprised a significant proportion of the collateral base and gaining a detailed understanding of the dynamics of the assets was essential to delivering the right structure and level of headroom for the business.”

He added: “SIA Group’s fast, accurate and dependable asset appraisal enhanced our ability to provide the quantum of funding required within a very tight timeframe. Just as having the right funding partner in place is imperative to our clients, so is having the right asset valuation partner.”

Paul Craig, Managing Director, SIA Group, said: “We were delighted to assist Arbuthnot Commercial ABL on funding such an innovative, fast-growing business as OSET Bikes. This was an inventory-led ABL facility which required a deep understanding of the inventory dynamics of the business. Due to OSET Bikes winning a large order, time was of the essence on this transaction. We worked diligently to deliver our collateral due diligence reports with the speed necessary to enable Arbuthnot Commercial ABL to meet their delivery schedule precisely to the day.”