Distributor Increases Credit Line to Meet Sales Growth
The client a family-owned and operated domestic wholesale distributor based in the Midwest, supplies convenience stores, big box retailers and grocery chains. The company offers over 4,500 product line items and is continually expanding their product offering to their expansive customer base. The Company is anticipating significant revenue growth this year due to the steady increase in sales.
The Company had been utilizing a line of credit with another bank for several years. They realized the facility would no longer support their current projected sales growth trajectory. When they Company approached the bank about extending their credit line, they were unable to provide the increase the company needed. Without the increase in place, the Company was facing a significant disadvantage, which could ultimately affect its growth and operations.
Seacoast Business Funding was referred to the client through a consultant. Seacoast was able to provide the Company with an increased Asset-Based facility of $750,000 significantly expanding line of credit from their original facility. The Company was able to utilize availability on the inventory as part of the facility structure in addition to the accounts receivable. Lastly, Seacoast was able to close and fund the facility within 3 weeks. Providing the additional liquidity for the Company to support their anticipated growth.
- 3 Weeks to Fund and Close
- $500,000 Increase in Credit Line to Support Growth
- Availability on Inventory