Manufacturing News

EFIC supports concrete firm with $300k global expansion grant

Export Finance and Insurance Corporation (EFIC) is helping New South Wales exporter Designer Concrete Coatings Pty Ltd (DCC) meet international demand and market its products more widely.

The Ingleburn-based company exports Designer Beadcrete, a patented reflective interior swimming pool finish that creates light refraction and attractive light effects in pool water. DCC is experiencing growing overseas demand for the product, mainly at resorts and major hotels in Europe, Asia-Pacific and Mauritius.

The company’s projects have included pool finishes for the Velassaru resort in the Maldives, the Sofitel in Fiji and several luxury resorts in Thailand and Turkey.

EFIC, the Australian government’s export credit agency, provided a $300,000 working capital guarantee to ANZ, enabling the bank to lend the same amount to DCC to ease its cash flow.

The guarantee, known as EFIC Headway, enables small and medium-sized exporters like DCC to access additional working capital from their bank.

DCC’s overseas buyers, especially those in Europe, are still feeling the effects of the global financial crisis and many now require payment terms of up to 60 days after the product arrives.

As a result, DCC’s cash flow has become stretched at a time when the company is keen to explore new markets, through avenues such as international trade fairs, and is also considering establishing a manufacturing plant in Europe to reduce the lead time for orders.

“Demand for Designer Beadcrete has snowballed in the last few years, but with buyers demanding generous terms of credit it’s difficult for a small company like ours to manage cash flow,” said Tom Kolakovic, Managing Director of DCC.

“The support of EFIC and ANZ will take pressure off our cash flow so we can both meet international demand and have working capital for marketing and investigating future overseas expansion.”

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