Tool and die manufacturer takes on bigger customers with a $500K factoring line

AR Funding is proud to welcome this manufacturing company as one of its newest clients.

AT A GLANCE

Industry: Manufacturing
Location: SC
Reason for applying: Accelerate cash flow
Cash available through factoring: $500K

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PROBLEM: Big customer demands longer payment terms

This veteran-owned tool and die shop has seen tremendous changes since it was founded in 1977. Originally a traditional machining shop, it is now a high-tech company that specializes in computer-automated machining (CNC) as well as traditional methods. 

The company’s ability to handle technically challenging jobs has attracted some high-calibre customers, including a multinational tire manufacturer. While this has created a tremendous opportunity for growth, it comes with new financial challenges. The company used to require deposits before the work began, which gave them the money they needed for project supplies. Now, they have to wait a standard 60 days for payment, which has stretched their available cash to breaking point. 

SOLUTION: $500,000 factoring credit line

The owner had already taken out equipment loans to ease the cash crunch, but it wasn’t enough to cover the gap. He researched alternative types of financing online and saw that factoring would be an affordable option. He reached out to AR Funding because we were familiar with the manufacturing industry and had other clients in the space who could provide good references.

After reviewing the company’s financials and the credit profiles of their top customers, we were able to offer a $500,000 factoring line. Now the company is in a great position to pursue rapid growth in 2026.

This happy client received financing with help from [NAME], Regional VP, [region]. Find out how much cash your company can access through invoice factoring. Talk to us.