Oil Field Hauler
IT Staffing Florida
1st Commercial Credit Funds a Florida based IT Staffing Agency with a $600,000 initial Invoice Factoring Credit Facility.
The client contacted us initially in November of 2019 for additional working capital since they were capped out on a bank loan.
The owners were not aware that the bank had already secured the accounts receivable assets. When this happens the business owner has 2 choices, either get the bankers to subordinate the accounts receivable or pay off the loan. There are other cash flow options of course, but the client was convinced invoice factoring was the best financial option for future growth and easily approved by us.
1st Commercial Credit was able to convince the bank to subordinate all accounts receivable so the client could have more cash flow. At first, our communication with the banker declined the subordination. Then after several conversation the banker offered a carve out on very few accounts and subordinate only those specific accounts. Unfortunately, this was not going to help the client with the additional cash flow needed. By the end March of 2020, the bank authorized the subordination of all accounts and we funded the client with a an approved invoice factoring facility for $600,000.
While some lenders are pulling back from funding during this uncertain economic downturn and enter into the first week of quarantine due to the Corona Virus, 1st Commercial Credit has not stopped funding new clients or existing clients so long ad the deal is viable and has recurring revenue.
18 Years In business & Over 3,200 Clients Funded