Turnover:
$3.5M.
Facility:
$1M factored, $250K Tradeline.
Background:
This well-established, clothing brand has typically provided men’s fashion ranges to one national retail chain, turning over $2M in the process. Our client recently won the contract to supply another large retailer– positioning the business for 75% growth in FY15. This rapid expansion raised cash flow issues. Increased stock holdings, wages, tax obligations and the prospect of 90 day trading terms meant our client needed a fresh injection of cash, which the existing financier was unable to provide in the required timeframe.
FactorONE, in conjunction with Tradeline, was able to offer a solution structured around the client’s dependence upon two major customers. This enabled our client to pay suppliers in China and maintain a positive cashflow whilst investing in increased stock holdings.
