Provider of Precision Plating Services
$2,200,000 Line of Credit and Term Loan
A precision plating company was seeking alternative financing after its existing bank indicated it did not intend to renew their line of credit. The company experienced significant losses despite generating $13,000,000 in revenue during 2009. The company made headcount reductions to return the business to profitability but there was little evidence of the turnaround in the interim period. The company had been in business for over 55 years with a tangible net worth of $5,300,000.
First Community Financial provided a $2,000,000 revolving line of credit and a $200,000 term loan to repay the bank and give the company additional liquidity to execute its turnaround. As a result of the company’s sizable net worth, their length of time in business and the abundance of collateral, First Community did not require personal guarantees.
