April 2006
FACETS OF FACTORING —
Eight Fabulous Factors Share Their Stories

Features

Some Accidents Were Meant to Happen…

Community-Based Factor Focuses on Giving Back
An Interview with Patricia Burns, President, Primary Funding Corporation

Pat Burns can’t say enough about the importance of giving back to one’s community — and it’s evident in everything she does. (Ref # EXEC029)

Gulf Coast Business Credit:

Diversity Proves to be a Plus in Katrina’s Wake
An Interview wIth Allen Frederic,

President & CEO, Gulf Coast Business Credit

It’s going to take more than Katrina to keep Gulf Coast Business Credit down. based in the Big Easy, this factor was savvy enough to spread most of its business across the country. (Ref # EXEC032)

Easy Riding… Carving a Niche in Transportation Factoring
An Interview with Steve Hausman, President & CEO,

Advance Business Capital

When Steve Hausman is moved to give back to his community, he dons a leather jacket and revs up his Harley. For professional thrills, he has been watching Advance Business Capital carve out a successful niche in transportation factoring. (Ref # EXEC034)

The Importance of ‘Sticking to Your Knitting’
An Interview with Thomas G. Siska, President, Credit Support International

Tom Siska believes that firms must build a solid foundation and get back to the basics before branching out… and he has found his career passion by helping factors achieve that firm footing. (Ref # EXEC030)

Focused on Growth… Agricultural Growth, That Is! An Interview with Rick Jones, President, Agricap Financial Corporation

Because of its complexity, banks and traditional lenders have shied away from the agricultural industry, making it a land of opportunity for those in the know. AgriCap Financial’s Rick Jones falls into this category. (Ref # EXEC033)

Building Value — From the Ground Up

An Interview with Howard Chernin, SVP, Quantum Corporate Funding

Industry estimates place the number of U.S.- based construction firms somewhere around 700,000 — representing more than $1 trillion in annual receipts. For Howard Chernin, this presents an opportunity simply too good to pass up.
(Ref # EXEC035)

All Phases of Factoring… Learning, Practicing and Teaching

An Interview with Harvey Gross, Managing Director,

New York Institute of Credit

When Harvey Gross started out as a student in the New York Institute of Credit in 1964, he never imagined that one day he would return to the organization as managing director. But here it is more than 40 years later… and there he is. (Ref # EXEC031)

From Banking to Factoring… Betting on the Right Solution

An Interview with Tyler Grady, EVP, Strategic & Corporate Development, LSQ Funding

By all accounts, Tyler Grady was in the midst of a promising career with BofA when he decided to place his bets on independent factoring company LSQ Funding, a company focused on the trucking, staffing and seafood industries. (Ref # EXEC036)

Naturally Complementary…

Factors & Trade Finance/Purchase Order Finance Companies

By Steven C. Wyatt, Transcap Trade Finance LLC

This form of combined financing creates cash flow in an alternative format to equity. and the increase in volume causes additional income for both lenders — resulting in a win-win-win scenario and revenue opportunities for their mutual customers. (Ref # FAC052)

Supply Chain Management & Its Effect on International Trade…

Has Inventory Become a Four-Letter Word?

By Anthony Brown, GMAC Commercial Finance

In the modern global supply chain, efficiency rules — so much so that everyone involved is embracing a new set of management rules in order to avoid one thing: inventory, a new four-letter word. Turn to page 16 to discover the impetus of this new business philosophy. (Ref # FAC051)

Columns

PUTTING IT TOGETHER
Financing the Supply Chain… A Little ‘Charm & Luck’

Goes a Long Way with Venture Merchant Banking
By Joseph Ingrassia, Capstone Business Credit
Attend the tale of two sisters — one with a flair for design and the other a sharp businesswoman — and their success in creating an internationally recognized brand of ladies accessories. and all it took was talent, factoring, trade finance and a little “Charm and Luck.”
(Ref # DLS018)

LEGAL EYES
A Question of Reasonableness: Default Interest Payable to

Oversecured Creditor Subject to Limitations
By Ryan T. Routh and Mark G. Douglas, Jones Day

Our legal column this month focuses on a subject of considerable debate in court … resulting in inconsistent and sometimes confusing outcomes.

(Ref # LGL055)

A CLOSER LOOK
Field Examinations & Third-Party Documentation —

the Right Combination
By Robin Brooks, Independent Field Examiner

When it comes to field exams, lenders generally promote a “git ‘er done” attitude. Third-party documentation is one tool that, when used properly, improves exam quality and can shorten fieldwork time. (Ref # FIELD010)