Daily News: December 5, 2017

Allied Closes Two Transactions Totaling $1.25MM

Allied Affiliated Funding closed two accounts receivable fundings.

The first was a $750,000 facility to a Texas-based staffing company supporting IT, telecom and accounting/finance customers. This start-up company needed growth capital to help launch its new staffing business, but it could not qualify for a bank line because it did not have any operating history. The company was referred to Allied by an existing Allied client, and Allied was able to provide the facility.

The second transaction was a $500,000 accounts receivable facility to a Texas-based based retail services organization that provides project management and professional installation to brands, retailers and retail manufacturers across the country. The company had previously been a bank client with a traditional line of credit. The firm experienced losses after losing its largest customer during 2015. It struggled growing the business and maintaining its financial covenants for its lender. Ultimately, the bank issued a non-renewal of its credit line. With payroll approaching and a frozen line, the bank referred the company to Allied to move the facility quickly, in time to refinance its bank line and met their payroll obligations.