Corporate movers re-stabilize with a $5M factoring line

AR Funding is proud to welcome this corporate moving and storage company as one of its newest clients.

AT A GLANCE

Industry: Business services
Location: TX
Company size: ~$7M annual revenue
Reason for applying: Lost a critical financing source
Cash available through factoring: $5M

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PROBLEM: Cut-off financing created financial instability

With a history that stretches back almost a century, this moving and storage company has weathered its share of challenges over the years. Today, the company helps businesses and their employees relocate locally, long-distance, and internationally. 

Because of the company’s cyclical revenue cycle and high liability exposure, the owner was unable to qualify for traditional lines of credit, but his bank was able to offer him a small factoring line to help with cash flow. However, when the company ran into a period of fluctuating profitability, the bank was forced to withdraw the factoring line, leaving the owner unable to cover business expenses or payroll.

SOLUTION: $5M factoring credit line

The bank manager referred the company owner to AR Funding because we are often able to extend a factoring line in cases where a company can’t meet the bank’s minimum requirements. Based on the excellent creditworthiness of the company’s customer base, we were able to offer the owner a much larger factoring line. 

Now the company can cover lean times and fund growth with access to up to $5 million in maximum outstanding funds. 

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.