Daily News: March 28, 2014

Versant Closes Two Split Collateral Factoring Facilities

Versant Funding announced it closed a $4.5 million factoring facility for a software company with only the accounts as collateral. The facility provides cash-flow that allows the company to continue its strong growth until it can qualify for more traditional forms of financing.

Versant Funding also announced it closed $2 million factoring facility for an electronics company in Colorado. The company just brought a new product to market featuring new technology that has generated a significant increase in revenue. Versant’s facility will allow the company to increase its production to fulfill the new orders prior to closing on a new senior facility.

The facility serves as a short-term bridge to support continued growth until a senior facility is in place. Versant was able to close the deal despite having to share collateral with previous note holders.