Client historically sold on COD terms to customers but suddenly was forced to offer Net 60 day terms to retain key customer accounts. This resulted in a cash flow crunch for the business. In addition, the client had significant sales concentrations which made them unbankable.
Material Handling Company
Client was unhappy with their former factor who was not timely in funding assignments of invoices. The client asked his equipment lender for a referral to a new working capital provider.
The company was in the process of being sold to a new ownership group.
Baby Food Manufacturer
The three-year-old company was experiencing rapid growth due to large orders from big box retailers. The bank was unable to increase its small credit facility.
The subsidiary’s parent company embarked on a major capital expenditure program, resulting in restrictions on intercompany advances.