Arvest Bank refinanced 1847 Goedeker’s $3.5 million term loan by providing a new five-year, 3.25% term loan. The original loan had a remaining term of 45 months and carried a rate of 12%. The refinancing reduced the annual debt service by nearly $410,000.
“By refinancing the original loan with a five-year term loan with a rate of 3.25%, we accomplished the goal of lowering our annual debt service by $409,758 in the near term, resulting in total savings of $587,392 through maturity date of the new loan,” Doug Moore, CEO of 1847 Goedeker, said. “A better balance sheet, better cash flow and lower cost structure should multiply the impact of an improving top line driven by increased advertising spend. All in all, this is a big structural win on our journey [to] be the dominant direct-to-consumer (DTC) appliances retailer.”
1847 Goedeker is an e-commerce destination for appliances, furniture and home goods.