Irrigation & Landscape Equipment Supplier

$1.2 Million Credit Facility

 The Client

The company sells and supplies equipment for commercial water features for residential, master development, municipalities, golf courses, cities, school districts, and highways. Products sold by the Company include irrigation pipes, pumps, controllers, electric control valves, fertilizers and herbicides, landscaping lighting and related products. Water projects that use their products include sprinklers, sewers, reclaimed pipes and landscape materials.

The Situation

Due to a decline in the economy and a series of weather-related obstacles, sales decreased and the company experienced some setbacks. The company’s four sole source suppliers cut off credit terms, stopped shipping, demanded payment and threatened to cancel distribution agreements.   When market conditions improved, outstanding debt, high interest loans and lack of inventory prevented the company from taking advantage of the opportunity to increase product lines and sales. To further the company’s growth, Business Capital deployed their proprietary Vendor Assurance Service,  restructured the Company’s debt and worked out new payment terms with critical suppliers and vendors.  Working with its network of lenders, Business Capital also structured a more affordable revolving line of credit targeted specifically to address the client’s current and future needs.

The Solution

To further the company’s growth, Business Capital restructured the Company’s debt and worked out new payment terms with critical suppliers and vendors. Working with its network of lenders, Business Capital also secured a more affordable revolving line of credit targeted specifically to address the client’s current and future needs and substantially increase their cash flow.

 

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