Bibby Financial Services (BFS) has provided £5m (€6.4m) of invoice financing to help the turnaround of two UK manufacturers which faced administration.

Komfort Partitioning Ltd based in Birmingham and Cubicle Washroom Systems Ltd from New Milton, received funding of £4.25m and £750,000 respectively.

Both businesses were formerly part of Laidlaw Interiors and faced administration in December, before being bought by investment company Valtegra.

BFS funding allowed the businesses to move out of administration and employees to be paid over the Christmas period while their operations were closed.

Glen Robinson, partner at Valtegra, said: "Contrary to popular opinion, British manufacturing is thriving. There really is still life in the old dog yet. Both of these businesses show that this country can still make tangible goods and products. What is vital though is for businesses to have both responsible owners and financers that can take the pressure off and allow them to thrive.

"Our arrangement with Bibby puts in place a structure where debt risk and equity risk are appropriately allocated, unlocking both businesses to grow and reach their full potential."