Automotive and appliance OEM finances a major contract with a $1M factoring line
AR Funding is proud to welcome this original equipment manufacturer as one of its newest clients.
AT A GLANCE
Industry: Manufacturing
Location: SC
Reason for applying: Finance a major contract
Cash available through factoring: $1M
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PROBLEM: Lack of business assets and personal credit
This global company opened U.S. operations in 2022 in order to manufacture parts for the U.S. automotive industry. During the first couple of years of operations, the company posted losses due to start-up operating expenses and the need to use accelerated asset depreciation in their financial statements.
In 2025, business turned a corner as the company optimized production processes and secured a major contract with one of the world’s biggest luxury car brands.
The company needed ready cash to purchase materials and finance operations, but couldn’t borrow against depreciated assets. Additionally, the company owner lived abroad and was unable to leverage his personal credit to borrow funds.
SOLUTION: $1 million factoring credit line
Unable to qualify the owner for traditional loans or lines of credit, the owner’s bank manager suggested he consider invoice factoring, and introduced him to AR Funding.
Based on the excellent credit profile of the luxury car brand, AR Funding was able to offer the OEM a factoring facility of $1 million. Now the company can accelerate cash flow by a full 40 days so that they can cover payroll and other operating expenses.
This happy client received financing with help from Crawford Reeves, Regional VP, Southeast Region. Find out how much cash your company can access through invoice factoring. Talk to us.
