Distributor of Aftermarket Auto Products
$500,000 Factoring Facility
A distributor of aftermarket auto products was seeking a factoring relationship to help the company finance its rapid growth. The company was an early stage venture with just one year of operating history. The company was backed by an investor group and had no current lending relationship. The company began receiving large orders from traditional and online catalog companies. The rapid increase in sales created a significant cash flow issue for the company.
First Community Financial provided a $500,000 factoring facility to help the company fulfill all orders and increase their marketing efforts. First Community got comfortable with the creditworthiness of the company’s customer base and provided flexibility in regards to sales concentrations.
