Daily News: August 29, 2012

First Capital Provides $12.75 Million ABL to California TrusFrame


First Capital announced that it has provided a $12.75 million asset-based lending facility to California TrusFrame, LLC, a manufacturer of engineered and prefabricated roof-truss, floor truss and wall panels serving all of California, Nevada and Arizona. The senior credit facility consists of an $11 million working capital revolver collateralized by accounts receivable and inventory and a term loan in the amount of $1.75 million.

First Capital was selected as the working capital partner based on its ability to structure a financing solution that provided additional working capital for the company to achieve its business strategy. California TrusFrame had completed a merger in 2011 and needed to find a lender that could accommodate its financing needs as the company grows.

Matt Grimes, EVP and First Capital Western region ABL manager, stated, “California TrusFrame’s new structure required a financing facility that could accommodate the new and larger organization. We looked at the capacity and the growth possibilities of the new team and business and decided it was the type of company that benefits from the lending programs First Capital provides as a privately owned non-bank debt provider.”

“The First Capital team worked hard to create a flexible facility to handle our present and future needs,” remarked John Hanna, president of California TrusFrame, LLC. “They put in extra effort to ensure all aspects of the loan process were properly executed so we could maximize our availability.”

This transaction was sourced by Grimes and will be serviced by First Capital’s ABL Western region located in Los Angeles, and managed by Grimes.

First Capital provides working capital financing typically ranging from $2 million to $20 million primarily to lower middle-market and middle-market companies with annual sales ranging from $10 million to $350 million.