Coral Capital Provides PO/Factoring to Spirits Importer
Coral Capital Solutions announced it provided a $1.2 million PO and factoring facility to an importer of tequila, rum and whiskey based in California. The facility empowers the company to pursue new distribution opportunities and provides support for future growth.
The management team of Iconic Brands has a track record as an award-winning importer and marketer of tequila, rum and whiskey brands in uniquely designed artistic bottles. The company works with suppliers in China and Mexico and sells the spirits to distributors and retailers worldwide. In order to launch several new product lines, the company’s foreign suppliers required deposits, and its large customers required extended payment terms, creating a cash-flow squeeze. The company is in process of equity raise and couldn’t meet current customer demand. Iconic turned to Avalon Net Worth to help raise capital, and to Coral Capital Solutions to provide PO and A/R financing.
With the right financing solutions in place, the company has the capital it needs to seize growth opportunities and launch its new product lines to customers in North America and internationally.
“We were able to deliver payment assurance in the form of letters of credit to suppliers, and in return, they increased production to facilitate delivery of the goods to our client’s customers,” said Ronnie Sussman, BDO of Coral Capital Solutions. “In addition, we were able to provide ongoing working capital financing. The company is now better positioned to take on new distribution channels and significantly grow its business.”