Allied Affiliated Funding, a division of Axiom Bank, closed $600,000 in receivables financing to a Texas-based company specializing in the recycle, repair and resale of used electronics and $1.5 million in receivables financing to a Texas-based company providing inspection services for pipeline/rigs and consulting and training services to the oil and gas industry.
The used electronics repair company had sustained losses historically and was self-financing its business to maintain working capital needs. With new customers and orders, this company needed a financing partner that could fund its existing business and provide room for growth with added business. The company’s former banker referred the owners to Allied to help set up a factoring facility in order to provide working capital for the company.
The inspection service company had losses in the past few years and had taken on expensive cash advances to get through cash struggles. Additionally, the company was with a high rate factoring company. As the company turned the business around over the past year and continued to pay down its cash advances, it wanted to find a receivables financing partner that could reduce its cost and meet its working capital needs. The company was referred to Allied to help set up a new factoring facility. Allied created a funding structure that paid down some of the cash advance debt while also providing a more competitive pricing structure that matched the company’s improved performance through its turnaround.
Allied Affiliated Funding specializes in factoring and ledgered asset-based lending, providing credit facilities including accounts receivable financing, inventory, equipment, real estate and term loans.
