A new direction – a secure future

A new direction – a secure future

After a thirty year career with Metal Box and ten years as a business improvement consultant Ray Roberts was ready to put a life time of business experience into a bold new venture. In December 2007 he acquired Almont Plastics, a Ledbury based business providing plastic moulding to clients in a wide range of industry sectors. He plans to double the company’s turnover within the first two years. It’s a big challenge, but Ray has learned to his benefit just how fast money can grow. In the past three years he’s seen the value of his pension portfolio double, thanks to a successful investment strategy from Aspire.

And Aspire’s been taking care of Ray’s present as well as his future. Much of the money to fund the new business venture was leveraged from Ray’s pension savings, acting on Aspire’s astute advice.

A bright new today

Building successful businesses is nothing new for Ray. In various business development roles he helped Metal Box expand across the globe. Then, as a consultant, he’s helped countless businesses across the Midlands to grow, innovate and compete. When the opportunity arose to buy his own business in 2007 he was ready for the challenge. But he needed help to raise the necessary finance.

“Though I could meet the initial purchase price I needed seed funding to cover investment and start up costs,” explains Ray. When he turned to Aspire’s Managing Director, Paul Reynolds, for advice he discovered an immediate solution to his dilemma - he could leverage the money he needed from his pension portfolio. “Few people realise that, once they’re over 50 years old, they can withdraw up to 25% of their pension as a tax free lump sum, leaving the remainder in place to fund income in retirement,”* explains Paul. “That was more than enough to meet Ray’s needs and his pension portfolio was certainly healthy enough to take the hit.”

Aged 60 Ray is far too busy enjoying his new career to think too much about retiring. But, when he does decide the time is right, he’s confident that the money needed to guarantee an action-packed retirement will be ready and waiting.

A plan for the future

In 2001 his pension performance was lacklustre to say the least. “I’d withdrawn from the Metal Box pension plan when I left the business and placed it in a managed fund. Depressingly, I’d watched its performance falter and its value fall. It wasn’t an encouraging prospect,” says Ray.

But a chance meeting with Paul Reynolds at a Business Link event changed all that. “Paul convinced me that he could turn the situation around. As we talked through options I realised that his ideas were innovative, bold and exciting – a stark contrast to the traditional funds my previous provider had opted for.” Paul recommended a diversified portfolio of investments held in a Self Invested Personal Pension Plan (SIPP). Signs of growth were evident almost immediately, but it was between the years 2004 and 2007 they really started to sky rocket!

“Paul advised me to split my pension money between property investments and a Skandia multi-fund product, which involved pursuing a specific strategy recommended by Paul,” Ray explains. It was good advice in both cases, delivering 100% returns in the three year period.

Ray’s boldest move was to invest as part of a syndicate in a commercial property in central London that was ripe for re-development. The initial plan was to invest for seven years with the hope of doubling his money over that period. In fact, that target was achieved in less than half the time, as London’s commercial property market flourished. And, just to prove that the postman always does ring twice, his Skandia plan delivered the same sterling performance.

“It was from the Skandia investment that I was able to draw the funds to finance the new business,” says Ray, “so I’m doubly grateful that it worked out so well.” The gains from the London development have subsequently been re-invested in property funds in Cape Verde and Poland. “And I’ve got one more UK commercial property investment waiting in the wings,” says Ray. In 2005 he invested in a second re-development venture, which is due to mature in the next two years.

Ready for action

“Working with Paul Reynolds and Aspire has made me so much more aware of what my money can do and how we can all avoid the traditional low performing pension traps that many people fall into. There’s no question that Aspire has delivered on its promise to outperform my previous provider – by a mile!”

So, with a bold new business and a high performing pension, Ray’s ready for action today and tomorrow. He says he might just retire at 70 or so, but he won’t spend much time sitting around. An international business career has left him with friends and family scattered across the world. “I think it might just be time to start travelling again," he muses…

* Changing to age 55 from April 2010 under new rules announced in April 2006

Find out how Aspire can help you change your present and future. Telephone 01905 622 180 or email info@aspirepersonalfinance.com