LSQ, a provider of working capital solutions, originated two facilities totaling $4.75 million for an existing client.
The client is a Pennsylvania-based marketing agency which required sufficient cash to execute the acquisition of a business that would expand its capabilities. The business, however, was overleveraged and carried an over-advance with a separate factoring company.
LSQ’s team worked with the agency to structure a facility that would provide sufficient working capital to carry out the acquisition, satisfy the over-advance and generate enough cash flow for the client to assimilate its newly acquired entity.
“Our assistance in funding this client allowed them to acquire another organization, grow their existing footprint and add customers in other industry sectors.” Edgar Marquez, an underwriter for LSQ, said. “The acquisition not only enabled the latter but also provided them assets that will allow for a large decrease in vendor expenses. This is expected to more than double their revenue for the foreseeable future.”
