Finance Need: Surge Fitness is a new venture which made contact through the Arkle Finance website, looking to finance gym equipment for their first personal training studio.
The company aimed to mirror an established and successful business model in continental Europe, where there are around 500 Electronic Muscle Stimulation (EMS) studios in operation.
Their first studio was set to be in Hammersmith, London. Surge Fitness required six new EMS machines from supplier Miha Bodytec for this first studio, with the potential for Arkle to provide finance for additional studios in the future.
What Arkle Did: The underwriters originally accepted the proposal and asked for a personal guarantee from the director, but he requested to not provide this. Paul worked with our underwriters to find an alternative to this, and the solution was to increase the deposit put down by Surge Fitness. This gave Arkle more security in lieu of a personal guarantee, and both Surge Fitness and the underwriters were satisfied.
Paul met with Surge Fitness at the Hammersmith personal training studio site to sign the finance documentation. The gym equipment was then delivered in time and ready for the Hammersmith studio opening.
The Finance Solution: Surge Fitness took out a three year Hire Purchase agreement. This enabled the company to use the equipment immediately, and also gives them the option of purchasing the machines at the end of the term.
Arkle Comment: Surge contacted us with a clear requirement of the equipment they required for their new premises. After a short period of consultation we identified the most suitable finance product for them and so we were able to progress in a timely manner to meet all their deadlines and fulfil their needs. I think it was a very good example of how we engage with our customers to establish how best we can assist and then deliver by always doing what we say were going to-do when we say we will do-it.
