ABOUT BETA BIOMASS
Beta Biomass Ltd was started in Gourock, Scotland by husband and wife team John and Jane Smith in 2005 as a tree surgeon business serving the local community.
After doing an Open University degree in Environmental Engineering in 2016 Jane decided to change the direction of the business from purely tree felling where a substantial amount of timber would not be fully used to having a ‘whole life’ approach to the company with a zero waste goal.
Over the last eight years they have successfully self financed a biomass boiler and micro district heating network with other local businesses using the woodchip from their business and a cooperative of other tree surgeons who can now get monies for this by-product where before they had to dispose of it environmentally at a cost to them. This has been very successful and paid back on the capital Investment in under 6 years thanks to RHI grant support via Ofgem which has another 14 years remaining. Based on this and after gaining a bank loan of £400k from Royal Bank of Scotland on future earnings via the biomass scheme John and Jane want to use the hardwood timber and build a seasoning shed and production / joinery unit to cut the timber into manageable planks to then manufacture bespoke / high end kitchen units for the residential market with Caledonian Homes Ltd already expressing an interest.
PROPOSED USE OF FUNDS
The overall project has been fully costed by a consultancy team at £1M with £400k coming from Royal Bank of Scotland and £600k from the P2NZ App.
There is capacity to generate more heat from the biomass boiler which shall be used to heat the new joinery shop and provide power via a CHP unit. This means the new workshop shall be using 100% recycled wood to create bespoke kitchen units with 100% renewable energy. The funds are required to purchase energy efficient building services plant and joinery machinery.
P2NZ CLOSING STATEMENT
We are delighted Beta Biomass Ltd have chosen the P2NZ App and are very keen to demonstrate that we are here to also help established businesses alongside start ups where there is a fundamental change in business direction to become a carbon neutral company and supply sustainable products to the wider consumer. Beta Biomass Ltd are a perfect example of this and we look forward to working with them to fulfil their dreams.
“We initially tried to secure 100% of the funding via Royal Bank of Scotland but they were looking for further security and at our stage in life we did not want to proceed down this road. We came across P2NZ in the Glasgow Herald newspaper and once we downloaded their App knew immediately that raising the additional £600k via equity release was the correct approach for Beta Biomass Ltd. With us living nearby to Glasgow, we have enjoyed discussing our project in person with Mark, Alan, Lynn and David and in particular were very impressed by Dr David Telford’s all round knowledge of everything to do with carbon neutrality and climate change.” Co founders John and Jane Smith