Rosenthal Capital Group (RCG), a private commercial finance firm in the United States, completed a $500,000 purchase order financing facility for a company that provides heavy equipment, vehicles, electronics, medical and laboratory equipment and construction materials to government departments and agencies and global organizations.
The Virginia-based company was looking to obtain a purchase order financing facility to support the fulfillment of several larger sales contracts with various government agencies. RCG stepped in and established an intercreditor agreement with a third-party factor and will provide irrevocable documentary letters of credit or purchase guarantees to make supplier payments, both international and domestically. The purchase ordering financing facility offers the company the additional liquidity it needed to support the larger contracts.
“No client ever wants to pass up on an opportunity to deliver on a substantial government contract, especially when there may be even larger contracts on the horizon,” Megan Slovak, senior vice president and underwriting manager for purchase order financing at RCG, said. “Clients seek out RCG because our purchase order financing solutions offer quick access to much-needed liquidity, oftentimes in tandem with factoring through soundly structured intercreditor agreements, so our clients never have to worry about missing out on important contracts or growth opportunities.”
