Typically, as a company grows so does its need for financing. Companies need to have ready capital to take advantage of opportunities, whether organic growth or by acquisition. Factoring provides that peace of mind and reliable financing.
Baby Food Manufacturer
Client: New York-based organic baby food manufacturer with $2 million in annual sales.
Situation: The three-year-old company was experiencing rapid growth due to large orders from big box retailers. The bank was unable to increase its small credit facility.
Need: The client needed additional cash flow to fulfill the orders and be able to take on new customer relationships.
Solution: Prestige paid off the bank and provided $250,000 in accounts receivable financing for their first assignment. Orders grew at a rapid pace, with no risk of having to turn down new orders due to a lack of cash flow. In less than a year, the client successfully refinanced their line with a low cost bank facility and grew their business more than tenfold.
Client: New York-based energy consultants with $3 million in annual sales.
Situation: The five-year-old company was experiencing slow payments from its customers causing cash flow issues.
Need: Sought working capital to support energy conservation program sponsored by Con Edison.
Solution: In three business days, Prestige was able to provide a $300,000 line.
Social Media Publisher
Client: New York-based social media publisher with $8 million in annual sales.
Situation: The four-year-old company was experiencing rapid growth due to the proliferation of social media across corporations.
Need: The client needed a flexible working capital facility to keep pace with increasing operating expenses.
Solution: In less than two weeks from initial inquiry, Prestige was able to provide a $3 million line to the publisher, thereby freeing the business owners to pursue new creditworthy business.
Importer of Gift Tea Packages
Client: New Jersey-based importer of gift tea packages with $22 million in annual sales.
Situation: The sixty-five-year-old company had historically been self-funded. The importer began to purchase inventory from a new overseas supplier which offered lower prices and higher quality, but could not grant credit terms.
Need: The client needed financing to afford upfront payments for orders and shipping costs, and prepare for seasonal peaks.
Solution: Prestige provided a $750,000 factoring line which allowed the client to pay suppliers upon receipt of product, and has increased profitability and sales volume.
Security Guard Company
Client: New York-based security guard company with $1 million in annual sales
Situation: Two-year-old company faced a 45 day gap between invoicing and receiving payments from customers.
Need: The client needed financing to make payroll, take on new customers and prepare for seasonal peaks.
Solution: In less than three business days from application, Prestige funded their weekly payroll. The client is now able to bid on and secure additional large contracts with the confidence that payroll will always be met.