Nestled near Carlisle, a midsize dairy farm faced an all-too-familiar challenge: surviving amidst falling milk prices. The farm had been under increasing pressure as wholesale milk prices declined, and traditional operations were no longer delivering sustainable profits. Yet, where others might have seen decline, this farm saw opportunity. Leveraging a newfound passion for cheese making, the owners trialled small batches of artisan cheeses, testing them at local markets and shops. The feedback was overwhelmingly positive, and demand quickly outpaced their modest production capacity.
Encouraged by local demand and growing orders, the farmers sought to expand production by renovating one of their sheds and purchasing the necessary equipment to scale operations. However, with no profits reported in the last two years and an overdraft maxed out at £50,000, traditional banks declined their application. Despite a proven market and a promising revenue stream, their financial profile failed to meet conventional criteria.
Alchemy Business Finance took a different view. Rather than relying solely on past profit figures, they assessed the strength of the opportunity, the existing assets available, and the vision of the business. Through a sale and leaseback facility, they released £85,000 over a 48-month term. The funding was secured against a range of equipment including tractors, tedders, mowers, a muck spreader, and a square baler. This asset-backed approach allowed the farm to access immediate funds without the burden of income-based affordability checks.
With the funding in place, the renovation began swiftly. The new processing unit was completed within months, and the upgraded facility enabled the business to fulfil larger orders from regional retailers. This diversification has not only boosted income but also helped stabilise the farm’s broader financial picture.
“This case exemplifies the value of flexible finance in agricultural innovation. When traditional lenders said no, Alchemy said yes—not because the farm fits a perfect box, but because the people behind it had a plan, assets, and a market-tested product. We believe that finance should empower potential, not constrain it.” Said Dean Pollen Managing Director. In Cumbria, that belief helped a struggling dairy operation transform into a thriving food business with a future.
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