$ 1,500,000| Factoring | U.S. Subsidiary

Client:

A light manufacturer, which was a domestic subsidiary of an insolvent foreign parent company.

Situation:

The foreign parent company defaulted on its loan obligation, and even though the subsidiaries were not parties to the loan agreement, they found themselves without a lender while the matter was being resolved.

Need:

The two U.S. subsidiaries needed stand-alone financing to fulfill a backlog of orders and provide ongoing working capital.

Solution:

Prestige worked diligently to provide a combined line of $1.5 million for the entities to meet payroll and operating expenses.