Wolverhampton theft protection firm Nice 1 is set to expand following a successful fund-raising exercise.
The firm is developing a vehicle replacement service after raising a significant sum with accountants PKF.
Theft Protect provides a like-for-like replacement vehicle in the event of a vehicle being stolen or written off.
Carl Brandrick, the founder and owner of Nice 1, said: “Demand for the product has exceeded our expectations and reflects the concerns of the UK motorist about the lack of facilities for victims of vehicle theft. Replacement vehicle services are now almost standard in the event of an accident where the other party is at fault. But where a vehicle is stolen it can take the insurance company weeks to pay out while waiting to see if it can be found. That can leave the individual concerned without any means of getting to work, having to pay for a hire car or use public transport.”
Malcolm Cook, head of PKF corporate finance in the West Midlands, who oversaw the financing deal with colleague Elinor Mathieson, said: “This finance deal has been achieved despite the very difficult recessionary background and we are very pleased to have played a part in pulling it off. It just shows that even in troubled times money is there to back ideas that are clever, innovative and with a clear business direction. Theft Protect is a niche operation which I am sure has a big future.”
Theft Protect is an insurance policy covering private and commercial vehicles, private hire vehicles and motorcycles. It is underwritten by DAS Legal Insurance Cover. Mr Brandrick added: “With the dramatic plunge in car and commercial vehicle sales, it is not surprising that dealer principals, finance companies and manufacturers are looking for ways to add value and increase margins. For manufacturers and Motor Dealers marque retention is critical, Theft Protect removes the need to go out and buy an immediate replacement vehicle, possibly from a competitor.”
A small percentage of insurance companies offer similar protection, leaving most of the UK’s 30 million motorists exposed should their vehicle be stolen.