Paragon provides £130,000 Coronavirus Business Interruption Loan for Worcester-based engineering firm

Paragon Bank continues to support UK SMEs during coronavirus, providing a £130,000 Coronavirus Business Interruption Loan (CBILS) loan to Worcester-based engineering firm, GDK Engineering Company Ltd.

GDK is a subcontract engineering firm, based in Worcester, specialising in low volume production of machined products.

GDK approached Paragon for support when demand for their services dropped as the pandemic impacted the business’ three major customers. This meant that GDK rapidly ran out of work, which had a negative impact on turnover.

Paragon originally provided GDK with a payment holiday on existing loans and invoice discounting fees during the early stages of the coronavirus pandemic. Paragon was also able to provide a flexible approach to funding production, by providing finance against completed work being held pending delivery to the end customer. 

GDK is a subcontract engineering firm, based in Worcester, specialising in low volume production of worm drive slewing rings and gearboxes, designing products to the requirements of each customer.

Stuart Easthope, Director at GDK, said: “It’s hard to speculate as to how the manufacturing economy will recover or what the traditional trades will look, so times remain uncertain.  However, the support from Paragon is professional, flexible and friendly and they continue to support GDK through this period of financial difficulty.”

Adrian Taylor, Head of Invoice Finance at Paragon, said: “We pride ourselves on offering a flexible service and treating our customers fairly, so we are really pleased that we were able to be a further arm of support for GDK when difficult times hit.”

For further information contact:

Amy Lange
Media Relations Manager
Paragon Bank
Tel: 0121 712 2526

Paragon Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered in England number 05390593. Registered office 51 Homer Road, Solihull, West Midlands B91 3QJ. Paragon Bank PLC is registered on the Financial Services Register under the firm reference number 604551