Lenders Beware: Failure to Investigate Suspicious Facts Can Void Your Security

If a deal seems suspicious in the early stages, the lender is required to go the extra mile to confirm that the borrower is being 100% honest. Michael Molinaro explains that the court expects a lender to check for fraud before a transfer of collateral is made. Failure to investigate can prove expensive.

View from the Mezzanine: How Structured Finance Can Spur Growth for Middle Market Companies

A structured capital strategy, combining debt and equity securities, can give smaller businesses more flexibility in the current lending environment where traditional bank finance remains constrained and restrictive. David Bainbridge explains how this approach can spur growth for middle market companies.

Surviving a Restructuring: Developing a Strategy for Small- and Medium- Sized Debtors

Many small- and medium-sized businesses fail to succeed in restructuring through Chapter 11 because of the expense and lack of manpower. Stephen Selbst provides a step-by-step guide to preparing for Chapter 11 that will help companies control the process and produce a successful outcome.

Starting from Scratch: Keith Broyles and Yvonne Kizner Build an ABL Division at Blue Hills Bank

When Blue Hills Bank, a 140-year old community bank, decided to start an ABL division, it offered veteran ABL lenders Keith Broyles and Yvonne Kizner the opportunity to build the new division from scratch. The pair jumped at the chance. They spoke with ABF Journal Editor Nadine Bonner and shared their optimism and excitement about this new venture.

Factoring 101: Growing a Business by Using Factoring

Factoring — selling invoices for cash to obtain working capital — can provide a business with much-needed liquidity to spur growth. Robinn Mikalic has spent 18 years in the factoring business. A passionate factoring advocate, she uses real life examples to illustrate how factoring works and how businesses can best use it to generate cash and promote growth.

U.S. Bank’s ABL Team Courted Patrick Lumber for Eight Years: The Resulting Marriage Is a Success

Patrick Lumber, a 100-year old family business in Portland, OR, was looking for a credit facility that didn’t require personal guarantees from its board members. U.S. Bank’s ABL team courted Patrick Lumber for eight years, convinced it was a good fit for the bank. In March, the company left its lender of five years and signed a $20 million ABL deal with U.S. Bank. ABF Journal Editor Nadine Bonner spoke with Patrick Lumber CFO Mark Auxier and members of the U.S. Bank team to learn why the company switched to an ABL and how U.S. Bank cemented its relationship with the company.

No, Actually Malls Aren’t Dead: Three Reasons Why

It seems like only yesterday that the mall replaced Main Street as the place to hang out with friends, grab a burger or hunt for a pair of trendy jeans. Now the internet and social media have turned many malls into ghost towns as brick-and-mortar stores struggle to stay afloat and kids hang out on Snapchat and Instagram instead of the food court. But many malls are fighting back and using technology to reinvent themselves. Writer/editor Natalie Burg reports that malls aren’t dead yet.

Cross-Border Asset-Based Lending: A Critical Tool for the CFO

Globalization is impacting businesses of all sizes. Wells Fargo Capital Finance Managing Directors Barry Bobrow and Joye Lynn explain why asset-based loans can provide businesses with more liquidity and offer flexibility to accommodate different jurisdictions.

May/June 2016

May/June 2016
ABL Industry
Vol. 14, No. 4

Factoring Business Owner Charged With Lying to FBI

A New Jersey factoir reported a fraudulent client to the FBI. Instead of working with the Feds as they requested, he sold accounts to another factor. ABF Journal illustrator Jerry Gonzalez illustrates the fraud triangle.