prestige financial invoice factoringdip financingfactoring servicesprestige brokers

Working Capital

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.

  • Vitamin Manufacturer

    $ 2,500,000


    West Coast
    • Client: West Coast-based vitamin manufacturer with $15 million in annual sales.

    • Situation: The company was in the process of being sold to a new ownership group.

    • Need: The seller needed bridge financing until the sale was finalized. During the interim period, Prestige management worked with both the seller and buyer to support their efforts to bring the sale to a successful conclusion.

    • Solution: The buyer was so pleased with Prestige’s way of doing business that they signed up for an extension of Prestige’s contract and immediately filled $500,000 in back orders.

  • Baby Food Manufacturer

    $ 250,000


    New York
    • 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.

  • Energy Consultants

    $ 300,000


    New York
    • 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

    $ 3,000,000


    New York
    • 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.

  • U.S. Manufacturer

    $ 30,000,000


    • Client: Midwestern U.S. manufacturer with over $1 billion in annual sales.

    • Situation: The subsidiary’s parent company embarked on a major capital expenditure program, resulting in restrictions on intercompany advances.

    • Need: Although strong financially, the client needed working capital flexibility without creating debt.

    • Solution: Prestige purchased their receivables without recourse through a $30 million factoring line, so the client could have access to immediate cash. As factoring is not a loan, the company assumed no debt on its balance sheet.

Similar Pages: Dip Financing | Bridge Financing | Invoice Factoring