Surface Reconstruction 0

Project Information

 Purpose of loan: Increase working capital

Limit: € 500,000 

Loan term: 456 days

Interest rate: 27.3%

Interest becomes payable: From the day of investment 

Intervals of interest payments: Weekly

Repayment of principal: At the end of the loan term


Borrower Information

 Legal form: Private limited company

Country of incorporation: England, UK

Established: in 2016

Tangible assets: £2,724,819 (as at 30 September 2019)

Employees: 15 on average throughout 2018

 Main business activities: Other business support service activities not elsewhere classified     

 Business sector: Construction, reconstruction, repair of roads with asphalt, stone and concrete paving, gravel and other surfacing.                                 


Investor Security & Early Exit Options

The loan is guaranteed by the Borrower’s shares

The loan may be offered for sale on TFGcrowd’s Secondary Market

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Borrower’s Business Model

The Borrower's team of experienced professionals specialises in laying, preparing, and reconstructing various ground surfaces and foundations. They can provide an extensive range of groundwork services, including the preparation of foundations and any necessary drainage and excavation services.

Their clients can choose to opt for a full-package solution or engage the team to collaborate on a specific part of their project as a sub-contractor. The company has extensive expertise and the necessary skills to carry out any required groundworks up to the highest standards and using the latest technologies and materials available on the market.

Their expertise in foundation works ranges from traditional strip to a complete raft. The company has the required experience to carry out all the necessary works to damp proof a course, using their highly skilled workforce and the highest quality materials.

The drainage services that they can provide range from domestic to deep drainage. They will also offer just as confident service in pipe-laying, canal excavation and even the balancing ponds. Their highly-skilled, respectful and friendly team will help with any groundworks their clients may require at very competitive prices.

They are currently looking to increase their working capital to enable them to provide their services to a larger client pool. Because the payment terms with the clients that they are looking to sign on prescribe only a partial pre-payment for the materials and an insignificant proportion of the labour costs involved, increased working capital will allow the Borrower to take on this project, enhancing their profitability in the process.

Market Outlook

Public private partnership and private finance initiative have led the growth of construction of roads in the UK. There are nearly 5273 business running in road construction industry and this industry nearly employs 45317 workers. The road construction industry is ranked 10th in the UK construction industry by market size and 116th largest industry in the UK.

In 2019 the road building, construction and maintenance contractors of UK were having a great profit margin. Their pre-tax profit saw a growth of 27% from the previous year. The turnover of the top 20 largest road contractors rose around 3.5% from £2.52 billion to £2.64 billion in the previous year.


The estimated market size of the road and motorway construction in the UK will be $7.7 billion in 2021. This construction industry faced the growth rate of 0.5% annually from the year 2016 to 2021. Due to the COVID-19 this industry is expected to face a negative growth rate of 7.8% in the year 2021.

In 2019/20 around 5.61 billion pounds were spent on the construction of national roads and 5.61 billion pounds were spent on the local roads by the public sector of UK. The following graph shows the amount spent on new construction and improvement for highways on the local roads in different regions in the UK. All the amounts are in million £.

The length of motorways road in 2020 was 3735 kilometers, the length of ‘A’ roads totaled around 47511 kilometers. These are the major roads in the UK and they totaled around 51246 kilometers. All the minor roads in the entire UK were totaled around 347114 kilometers. So, the total length of all major and minor roads in the UK in 2020 was 398359 kilometers. The growth rate of the length of the major roads from 2010 to 2020 was about 0.18% annually. The growth rate of minor roads from 2010 to 2020 was about 0.09% annually. The combined growth rate of the length of all roads were 0.10% annually in the last 10 years.

The maintenance cost expenditure for type ‘A’ roads were about £685 million for structural purposes and £275 million for routine and other tasks. The total highway maintenance cost was £960 million for type A roads in the year 2019. Another £2569 million were spent for the development of structure of the local authority roads and £1027 million were spent for the routine and other task of development. Around £3920 million pounds were spent on the local authority roads in 2019. This spending amount is going to increase as time progress. But due to a pandemic the spending on the road is going to be reduced and after full recovery from the pandemic this spending will continue to rise. Yearly, about 3% of the principal type A road required maintenance and on average 6% of the non-principal roads requires maintenance. In 2021 the local highway maintenance needs £725 million for element funding.



Loan term
456 days
Interest rate
27.3% per year
Expected Return