TCJ Case Study
Manufacturer of Neon and Industrial Signage
ABOUT THE COMPANY
HQ Location: South Central, United States
In Business For: 25+years
Annual Revenues: $10M+
Management: CEO has managed business since inception; 100% shareholder
Customer Base: Many large, long term customers; banks, casinos, hospitals, stadiums, etc.
Operational Restructuring: Company was restructuring by consolidating locations, resulting in cash flow deficits and stretched A/P.
Liquidity Shortage: Company lacked liquidity, which created an order backlog with key, long term clients. Company needed additional capital to reach growth potential.
Refinance Factor Line: Company was financed by a factor that did not include Inventory or M&E in its borrowing base.
Customer Concentration: High concentration of A/R due from few customers, exposing company to additional risk.
The Credit Junction worked closely with the company and their management tocraft a financing solution that met both their short and long-term needs.