Business services company reduces financing costs with a $500K factoring line

AR Funding is proud to welcome this out-of-home advertising company as one of its newest clients.

AT A GLANCE

Industry: Business services
Location: NJ
Company size: ~$4M annual revenue
 Reason for applying: Reduce financing costs
Cash available through factoring: $500K/month

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PROBLEM: Funding sources were limited and costly

Founded in 2016, this company specializes in designing, printing, and installing vinyl products for out-of-home advertising campaigns, including vehicle wraps, banners, and window advertising.

Over the years, the company’s industry reputation grew, and it began taking on bigger clients, including a lucrative contract with a leading, nationwide media operator. However, this resulted in a much higher percentage of the company’s revenues being tied up in payment terms of 60+ days. 

The company took out loans to cover the gaps, but the interest costs were impacting profitability, and as they continued to grow, they were unable to secure a higher credit limit. 

SOLUTION: $500K factoring credit line

After being turned down for more loans, the company spoke to their broker about alternative financing. The broker recommended invoice factoring and coordinated a meeting with AR Funding. 

We were able to offer the company a factoring line of up to $500,000 per month to help them access the amount of up-front capital they needed to take on bigger clients and grow revenue and profitability. 

This happy client received financing with help from Darren Wright, Regional VP, Central Region. Find out how much cash your company can access through invoice factoring. Talk to us.