Scottish storage solutions firm secures £1m loan to navigate COVID-19 pressures

Jim Ferguson, Rackit managing director

NORTH Ayrshire-based storage and handling solutions business, Rackit, has secured a £1 million funding package from Royal Bank of Scotland to help support the business during the coronavirus pandemic.

The CBILS loan will help assist with cash flow which has been severely impacted by supply chain delays and travel restrictions implemented in response to Covid-19. It will also enable the business to continue to supply major customers across Scotland, the UK and Europe and grow at a time when other sources of funding are scarce.

Founded in 2006, Rackit, provides customers with storage and handling solutions and currently employs 50 members of staff across its Scottish head office and regional offices around the UK.

Jim Ferguson, Rackit managing director, said: “Like many other businesses, we have experienced major interruption to operations as a result of the COVID-19 pandemic. While major customers within the eCommerce sector continued to place orders, travel restrictions and general supply chain issues resulted in us purchasing stock but being unable to deliver or install, placing a huge strain on our cash flow.

“Prior to the pandemic hitting we were in a strong position that we want to return to build on when the business can begin operating at full capacity once again.”

Alan Poole, relationship manager at Royal Bank of Scotland, said: “Rackit is an exciting, homegrown Scottish company which has great potential and it’s extremely rewarding to know that our support has helped ease concerns and provided a safety net during this challenging period.”

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