Alternative Funding Options (AFO) recently helped these businesses secure financing:
Commercial Real Estate – An investor owning a strip office center was looking to refinance his balloon due i/a/o $1.8m with a private lender. He was paying interest only at 12% and was hoping he could qualify for bank financing. He was declined by several banks due to a prior history of a bankrupcy and foreclosure. After a lengthy search, AFO was able to find him bank financing to refinance his balloon due as well as give him a cash out of $300k so that he had those funds for his reserves.
Commercial Real Estate – An owner of a car repair shop had a loan maturing i/a/o $200k with their bank and the bank was not able to renew it. It was in their Special Assets. AFO was able to find them bank financing and give them a cash out to pay off some additional debt
Accounts Receivable Factoring and Purchase Order Financing – An owner of a company that designs pet doors for apartment complexes was starting to get large orders in and didn’t have the cash to pay their manufacturer in China. They could not qualify for bank financing since they were so new and hadn’t been generating the revenues to support the amount that they needed. Their manufacturer was requiring a 50% deposit upfront and the balance due upon shipment. Once their customers received the shipment, they requested 30 day payment terms. AFO was able to find them financing for their P/O’s in which a letter of credit was issued to their manufacturer to draw against to pay for the order. Once their customers received the shipment, the invoice was generated and they were able to factor it giving them the monies to pay off the P/O financing.
Accounts Receivable Factoring – A medical supply company needed $105k to purchase some equipment to fill a large order from a customer. Their supplier offered 45 day payment terms but they had reached their credit limit and was not able to get it extended. Their customer paid in 30 days. They currently had $500k outstanding in their A/R so AFO was able to get them set up for factoring their receivables to give them the money they needed to pay their supplier.
Contract Financing – A defense contractor was awarded a large contract i/a/o $1m and needed $200k to start the project. They were not able to invoice for 45 days. AFO was able to get those monies advanced against their contract and once their invoice was generated, they were able to factor it to pay off the $200k.
Unsecured Financing –A company that sets up a Haunted House for Halloween needed $15k. He could not qualify for any bank financing so AFO was able to get him approved for that amount based on his personal credit at a 10% interest rate to be paid back in 36 months, no prepayment. This was important to him since he would be able to pay the loan off within 6 months.
Please keep us in mind with any of your customers that are in need of financing for accounts receivable or factoring, purchase orders, inventory, asset based lines of credit, equipment, business acquisitions, merchant cash advances, unsecured or micro loan programs and for any type of commercial real estate for purchases, refinances or cash outs. We work with customers needing bank financing (if they qualify) or for alternative.
We know how to structure the deal to find them the financing that they need and can negotiate the best rates and terms. We save your customers the time and effort as well as the frustration in having to go through the process.