Early Stage Financing2023-01-05T17:57:13+00:00

Early Stage Financing

Entrepreneurs often lack the operating history necessary to raise capital to finance a business. Factoring is often used by startups to provide the capital necessary to get a business off the ground.

CALL CENTER

$ 5,000,000| Factoring | Ontario, Ontario

Client:

Ontario, Canada-based call center with $50 million in annual sales.

Situation:

Ten-year-old call center was being acquired by a U.S. investor group.

Need:

The investors were seeking to leverage the receivables of the call center to complete the acquisition and provide ongoing working capital.

Solution:

In less than two weeks from the initial inquiry, Prestige provided a $5 million factoring line, allowing the buyers to complete the cross-border acquisition with a nominal equity investment.

CREATIVE SERVICES FIRM

$ 500,000| Factoring| New York

Client:

New York-based creative services firm with $2.5 million in annual sales.

Situation:

The one-year-old company creates advertising jingles for airlines and other clients. It takes the firm 45 to 60 days to generate billable work and then an additional 45 days before payments are received. This lengthy cycle resulted in cash flow constraints for the firm.

Need:

The client required working capital financing to support this growing business.

Solution:

Prestige provide a $500,000 line which bridges the gap between invoicing and payment and supports daily working capital needs.

TECHNOLOGY STAFFING COMPANY

$ 500,000| Factoring| New Jersey

Client:

New Jersey-based technology staffing company.

Situation:

The three-month old company was experiencing working capital constraints due to customers stretching their payments to more than 45 days.

Need:

The client needed working capital to meet payroll and related tax expense and had a payroll that was quickly coming due.

Solution:

Within three business days, Prestige provided a $500,000 factoring line of credit which enabled the client to meet their payroll expense and provided ongoing working capital.

MEDIA AND BRANDING COMPANY

$ 750,000| Factoring| New York

Client:

New York based media and branding company.

Situation:

The company bills their clients in installments under a contract. They had been financed by a factoring company who could not finance milestone billed receivables. Therefore, most of their invoices were deemed ineligible for funding.

Need:

They needed an experienced factoring firm who understood their industry, the nature of their billing. One who could provide the financing that they needed in order to keep their cash flow steady.

Solution:

Their banker was able to make an introduction to Prestige. Prestige was able to replace their current factor, giving them access to greater liquidity by financing all of their receivables, including those that were billed in milestones.

MANUFACTURER AND DISTRIBUTOR OF SWIMMING POOL ACCESSORIES

$ 750,000| Factoring | Southwest

Client:

Creator, manufacturer and distributor of innovative swimming pool accessories

Situation:

Client’s business was beginning to grow beyond his initial seed investment.

Need:

Client was seeking purchase order financing and factoring to fill his orders which were growing in size.

Solution:

His investment banker made an introduction to Prestige. Coordinating efforts with our Purchase Order finance partner, we were able to assist the client to fill his orders ensuring his continued steady growth.

FOOD AND DRUG MANUFACTURER

$ 500,000 | Factoring | Upstate NY

Client:

Food and drug manufacturer based in Upstate NY.

Situation:

Client was receiving large orders to manufacture private label products for large distributors. They were unable to fill these orders without a financing partner.

Need:

A credit facility to ensure that they would have availability to buy raw materials to create their product and fill their orders in a timely manner.

Solution:

Within one week Prestige, was able to finance their invoices and seamlessly keep up with their growing pipeline.

TECHNOLOGY / MANUFACTURER

$ 1, 500,000| Factoring | Northeast

Client:

US subsidiary of an Israeli company which creates technology and manufactures a product for municipal contracts.

Situation:

Client was seeking growth capital as their orders for this in-demand product were growing rapidly.

Need:

Due to large purchase orders for their product in excess of 1 million dollars, they needed to find a finance company quickly that could fund large concentration accounts and keep their business moving forward without skipping a beat.

Solution:

Their CPA, an investor in the company, reached out to his banker to see if anybody would finance US subsidiaries and concentration accounts. The banker made the introduction to Prestige who promptly financed this client and assisted in their rapid growth in the US.

MANUFACTURER AND DISTRIBUTOR OF SWIMMING POOL ACCESSORIES

$ 750,000| Factoring | Southwest

Client:

Creator, manufacturer and distributor of innovative swimming pool accessories.

Situation:

Client’s business was beginning to grow beyond his initial seed investment.

Need:

Client was seeking purchase order financing and factoring to fill his orders which were growing in size.

Solution:

His investment banker made an introduction to Prestige. Coordinating efforts with our Purchase Order finance partner, we were able to assist the client to fill his orders ensuring his continued steady growth.

NUTRITIONAL JUICE COMPANY

$ 750,000| Factoring | New York

Client:

New York-based nutritional juice company.

Situation:

Early stage venture looking for start-up financing.

Need:

The client was seeking an alternative to equity funding to fulfill its initial orders from a big box retailer.

Solution:

Prestige provided a $750,000 factoring line in less than seven business days which allowed the juice company to fulfill the orders and take advantage of new opportunities.

MANUFACTURER SPORTS NUTRITION

$ 500,000 | Factoring | Florida

Client:

Florida-based manufacturer of sports nutrition products.

Situation:

After two years of research and development, the early stage company started generating revenue and needed to turn their invoices into immediate cash.

Need:

The client needed cash to pay their suppliers up-front and to fund other working capital needs.

Solution:

In six business days, Prestige provided a $500,000 factoring line of credit to the client which provided working capital and supported the company’s growth plan.

MANUFACTURERS OF SKIN CARE PRODUCTS

$ 750,000 | Factoring | New York

Client:

New York Skin care manufacturer

Situation:

Company was experiencing a cash crunch due to extended terms with their largest customer.

Need:

Cash flow to maintain operations

Solution:

Prestige was able to factor their large receivable giving them the much-needed cash flow to service their customer base.

NEW JERSEY AUTOMOTIVE PRODUCT

$ 500,000 | Consumer Products | New Jersey

Client:

New Jersey Automotive Product

Situation:

This entrepreneur created a new to market automotive product and was seeking capital to grow his business.

Need:

The client had received a large order from a big box retailer and needed financing to pay his supplier in a timely manner.

Solution:

Within a week Prestige funded his order enabling him to realize his vision of success bringing his new product to market.

CALIFORNIA HAIR CARE PRODUCT COMPANY

$ Line Amount | Consumer Products | California

Client:

California Hair Care Product Company

Situation:

Celebrity Hairstylist created a hair care product line and received a large order from a retailer.

Need:

Client had approached their bank for a loan to assist in financing their supplier. The bank wasn’t able to assist as the company was too new.

Solution:

The bank introduced them to Prestige. Prestige set up a Factor’s Assurance program with their domestic supplier in order to get their supplier funded as soon as the order shipped and the client submitted the invoice to Prestige. This created a great partnership and goodwill between the client and their supplier, allowing them to continue to expand their business and accept additional larger orders.

LOS ANGELES SKINCARE COMPANY

$ Line Amount | Consumer Products | California

Client:

Los Angeles Skincare Company

Situation:

Client obtained a large order with a subscription box company and didn’t have credit with her supplier.

Need:

The domestic supplier recommended the client work with Prestige’s Factors Assurance payment program. The supplier had a previous customer who had done this and the supplier had been paid directly by Prestige out of the invoice advance in a timely manner.

Solution:

Prestige was able to pay the supplier once the product was shipped to the customer enabling her to fulfill the order.

MANUFACTURER AND DISTRIBUTOR OF SWIMMING POOL ACCESSORIES

750,000 | Income Financing | Southwest

Client:

Creator, manufacturer and distributor of innovative swimming pool accessories.

Situation:

Client’s business was beginning to grow beyond his initial seed investment.

Need:

Client was seeking purchase order financing and factoring to fill his orders which were growing in size.

Solution:

His investment banker made an introduction to Prestige. Coordinating efforts with our Purchase Order finance partner, we were able to assist the client to fill his orders ensuring his continued steady growth.

DIGITAL MEDIA COMPANY

$ 750,000|Income Financing| New York

  • Client: Upstate New York digital media company
  • Situation: The client developed digital technology that was being sold to big box retailers. The orders from the retailers were coming in fast and the client couldn’t keep up fulfilling the orders.
  • Need: The client needed working capital to be able to fulfill the orders from the retailers in a timely manner.
  • Solution: In less than one week from the initial call with the client, Prestige provided a $750,000 factoring line of credit which improved their cash flow and enabled the client to fulfill the back log of orders and ongoing working capital.

TECHNOLOGY / MANUFACTURER

$ 1,500,000|Income Financing |Northeast

  • Client: US subsidiary of an Israeli company which creates technology and manufactures a product for municipal contracts.
  • Situation: Client was seeking growth capital as their orders for this in-demand product were growing rapidly.
  • Need: Due to large purchase orders for their product in excess of 1 million dollars, they needed to find a finance company quickly that could fund large concentration accounts and keep their business moving forward without skipping a beat.
  • Solution: Their CPA, an investor in the company, reached out to his banker to see if anybody would finance US subsidiaries and concentration accounts. The banker made the introduction to Prestige who promptly financed this client and assisted in their rapid growth in the US.

FOOD AND DRUG MANUFACTURER

$ 500,000|Income Financing| Upstate NY

  • Client: Food and drug manufacturer based in Upstate NY.
  • Situation: Client was receiving large orders to manufacture private label products for large distributors. They were unable to fill these orders without a financing partner.
  • Need: A credit facility to ensure that they would have availability to buy raw materials to create their product and fill their orders in a timely manner.
  • Solution: Within one week Prestige, was able to finance their invoices and seamlessly keep up with their growing pipeline.

STEEL COMPANY

$ 2,000,000|Income Financing |New Jersey

  • Client: New Jersey-based steel company with projected sales of $10 million.
  • Situation: Client historically sold on COD terms to customers but suddenly was forced to offer Net 60 day terms to retain key customer accounts. This resulted in a cash flow crunch for the business. In addition, the client had significant sales concentrations which made them unbankable.
  • Need: Client needed cash flow to support daily operating expenses and to take advantage of growth opportunities.
  • Solution: In less than two weeks, Prestige provided a $2 million factoring facility giving the client the necessary cash flow to operate their business while waiting 60 or more days for payment from customers. In addition, Prestige looked to the credit quality of the receivables and not the sales concentrations, in structuring a financing solution for the client that helped accelerate their growth.

NEW JERSEY AUTOMOTIVE PRODUCT

$ 500,000|Consumer Products| New Jersey

  • Client: New Jersey Automotive Product
  • Situation: This entrepreneur created a new to market automotive product and was seeking capital to grow his business.
  • Need: The client had received a large order from a big box retailer and needed financing to pay his supplier in a timely manner.
  • Solution: Within a week Prestige funded his order enabling him to realize his vision of success bringing his new product to market.

WOMEN’S APPAREL COMPANY

$ 1,000,000| Income Financing |Southeast

  • Client: Southeast based women’s apparel company.
  • Situation: This client had recently ended her partnership with one partner and was forming a new corporation with her overseas supplier.
  • Need: Client needed to have a financing partner to give comfort to her suppliers that she would have steady cash flow to pay for the product in a timely manner as well as have credit protection on her retail invoices.
  • Solution: Putting together a 1 million line for this client, Prestige was able to ensure that her business could scale up quickly and that Prestige’s credit department could monitor her retailer’s credit.

TEXTILE DESIGNERS AND MANUFACTURERS

$ 500,000 | Invoice Financing | New Jersey

 

  • Client: New Jersey Textile designers and manufacturers
  • Situation: Company needed financing to import materials to create, manufacture and sell to their large customer
  • Need: Both Purchase Order Financing and Accounts Receivable Financing to import raw materials for textile product manufacturing.
  • Solution: Prestige was able to arrange for a factor’s assurance letter to their key suppliers enabling them to import the goods that they needed to manufacture their product.
Go to Top