Seafood Wholesale/Distributor

$3,500,000 Senior Secured Credit Facility 

The Client

A family owned company founded in the early 80’s and based in California which supplies fresh and frozen seafood products.  The company aids tiny, eco-minded fishermen and fish farmers by helping them sell their seafood to prestigious restaurants and retailers and distributors nationwide. The Company is unique in that it audits the operations of its suppliers and provides a transparent and traceable manner for  consumers to easily learn where and how seafood was caught or raised and whether chemicals, antibiotics, or hormones were used, thereby increasing the understanding in consumer choice for the type of seafood consumed.

The Situation

The company was bought out by a larger food conglomerate and, shortly thereafter, the buyer agreed to spin-off and sell the distribution business segment back to the founder of the business. Following the purchase of the business, the company was unable to secure a line of credit. Because they operate in a delicate, yet expanding market niche, they had been unable to find an alternative lender who could understand and appreciate their circumstances and vision for a new direction.

The Solution

Business Capital worked closely with the company’s owners and management to develop an understanding of the industry, the financing requirements and the company’s projected path towards profitability. By articulating the expertise and industry knowledge of the owners and their capability to generate sales and near term profits, Business Capital was able to successfully present the business as a sound candidate for a line of credit to its lending partners.  Business Capital successfully delivered an optimal financing solution that will enable the client to maximize the liquidity locked-in its working capital that will enable the owners to fund  their future growth plans.

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