Nutral Solutions has received funding from NEL Fund Managers to support a management buyout, giving HR and workforce procurement teams in construction a view of how specialist compliance and contractor management providers are being financed as regulation tightens. Founders Alex Gosney and Ben Wardleworth now hold full ownership.

Nutral Solutions is a Leeds-headquartered workforce management and compliance business, founded in 2021, that uses technology and specialist expertise to help contractors manage workforce procurement, regulatory compliance and complex labour supply chains, including vendor management and contractor payroll. Financial figures are not publicly available.

NEL Fund Managers manages the NPIF II NEL Debt Finance fund, which backed the buyout, and NPIF II NEL Smaller Loans, which offers £25,000 (€29,000) to £100,000 (€116,000) investments to new and growing businesses.

RG Corporate Finance advised the acquiring shareholders.

The strategic logic is an ownership transition to the founders, who secured full control after Human Capital Investment Group departed.

Michael Williams, investment executive at NEL Fund Managers, said: “Working closely with Ryecroft Glenton, we were able to structure a solution that was equitable for both the new and exiting shareholders, while ensuring the business maintained sufficient headroom to support its future growth ambitions.”

The structural driver is tightening regulation. Williams said the founders are in a strong position to accelerate growth in a market where regulatory requirements are becoming increasingly stringent and demand for specialist workforce compliance and assurance solutions continues to grow across the construction and infrastructure sectors.

The founders said they are seeing growing demand from contractors who want confidence that workforce management and compliance are managed to the highest possible standard, and that the transaction gives them a platform to keep investing in services and strengthen client relationships.

RG Corporate Finance said the business has grown as construction companies place greater emphasis on workforce compliance, governance and supply chain assurance, driven by increasingly complex regulatory requirements and a focus on protecting workers, reducing operational risk and safeguarding reputations.

For the sector, the buyout shows a founder-led workforce compliance provider securing regional lender support to take full ownership as construction clients tighten supply chain assurance.

Source: Bdaily / Business Up North / RG Corporate Finance