Oilfield supplier grows sustainably with a $2 million factoring line

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

AT A GLANCE

Industry: Oilfield supply
Location: TX
Company size: ~$300,000 annual revenue
Reason for applying: Rapid growth opportunity
Cash available through factoring: $2 million

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PROBLEM: Lack of credit history put loans out of reach 

With a business model that required payment for goods up front and customer payment terms ranging from 30 to 60 days, cash flow was an ongoing issue for this vendor of supplies and equipment for the oilfield industry. But the owners were unable to qualify for personal loans, and with only three years in operation, they didn’t have the track record banks needed to see in order to extend loans or lines of credit to the business.

The lack of available cash was preventing the company from securing new customers and growing the business.

SOLUTION: $2 million factoring credit line

The owners heard about AR Funding from other business owners in their network and decided to explore the potential of invoice factoring. Given the company’s potential for growth and the creditworthiness of their key customers, AR Funding was able to offer the company a $2 million factoring line, which will enable the owners to take on more work and grow the company significantly.

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.