Rosenthal & Rosenthal launched a new recourse factoring program designed to meet the unique financing needs of growing service businesses and light manufacturing and assembly businesses. An alternative to bank financing, Rosenthal’s recourse factoring offering is an excellent solution for start-ups, turnarounds and companies that are not yet profitable due to rapid growth.
The addition of recourse factoring to Rosenthal’s expansive roster of financing offerings comes on the heels of the firm’s 2021 launch of its e-commerce growth capital division, Pipeline, that helps companies build up e-commerce inventory and facilitate inventory purchases earlier in the supply chain.
“Our recourse factoring program is the perfect complement to our Pipeline offering, as Rosenthal is now able to offer even more liquidity and fuel additional growth opportunities for businesses, on both the inventory and receivables side,” Leigh Lones, SVP and director of recourse factoring at Rosenthal, said. “It’s an ideal solution for growing companies looking for simple, fast and flexible funding.”
Rosenthal will offer higher advances, more flexible credit requirements and straightforward pricing, as well as funding that accelerates the cash cycle when cash payments or outflows do not match invoice terms. With no financial covenants, Rosenthal’s recourse factoring focuses on the quality of the accounts receivable rather than the company’s historical financial performance.
“This is the right time for Rosenthal to expand our factoring products and add to our already robust arsenal of financing solutions,” Paul Schuldiner, chief lending officer at Rosenthal, said. “Throughout Rosenthal’s storied history, the firm has always found new and creative ways to support our clients, so we are pleased that we can now offer our recourse factoring services to support a new cadre of younger, growing companies.”
