A measure of both a company’s efficiency and its short-term financial health, working capital is the cash a business requires to fund day-to-day operations. At times, working capital constraints occur due to rapid growth, seasonality, delayed customer payments and other unexpected events. Factoring provides immediate access to cash for business owners.
Technology / Manufacturer
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.
Manufacturers of Skin Care Products
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.
Custom Minted Coins and Medals
Client: Nevada Manufacturer of Custom minted coins and medals
Situation: Company had just filed bankruptcy and needed funds to continue production
Need: Debtor in possession financing
Solution: In less than a week, Prestige was able to fund the company’s accounts receivables while in chapter 11 bankruptcy so that they could fill their existing orders.
Food and Drug Manufacturer
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.
Solar Panel Engineering Firm
Client: West Coast solar panel engineering firm
Situation: Client’s business had been funded by investors. As business grew rapidly, the investors required that the company obtain additional working capital for payroll and other day to day needs.
Need: Client was seeking a finance company that understood the nature of their business and who could finance invoices that are often billed in milestones.
Solution: Their investment banker brought the client to Prestige and within a week Prestige was able to put a facility in place that pleased their investors and gave the client the working capital that they needed to keep pace with their rapid growth.