MB Business Capital provided an $8 million senior credit facility to Plano, TX-based WM Coffman Resources.

Coffman is in the residential stair parts industry within the U.S. It is a one-stop shop for residential, interior stairway design and construction. WM Coffman is a portfolio company of Prophet Equity.

Proceeds of the facility were used to facilitate the acquisition of Staircrafter’s Supply in Rahway, NJ, to refinance existing debt and to fund working capital needs.

WM Coffman has been a customer of MB Business Capital since 2012. Prophet Equity acquired Staircrafter’s and approached MB, as well as other lenders, for a new line to enable the acquisition and refinance existing debt. MB Business Capital won the deal and was able to provide a facility that gave Prophet more liquidity with a larger revolving line of credit and a very creative term loan. MB also added value to the transaction by introducing Prophet to Spell Capital Mezzanine Partners. Subsequently, Spell was brought into the deal by Prophet to provide mezzanine financing for Coffman.

“The MB Business Capital team prides itself on closing what we propose and looking at each deal individually. We do not have a “cookie cutter” product and each deal is underwritten according to the company’s needs and capabilities. We are very pleased that we were able to accommodate Prophet Equity’s requests and WM Coffman will continue to be a highly regarded customer,” said Michael Sharkey, president of MB Business Capital.

Southlake, TX-based Prophet Equity is a private equity firm that partners with owners and management teams, and their team of experts to utilize a Holistic Value Creation strategy and Prophet Full Potential Value system that is Fortune 500 tested and private equity proven to diagnose and drive dramatic value creation.

Minneapolis-based Spell Capital Partners (Spell Mezzanine) is a private equity and buyout firm engaged in the acquisition of controlling interests in well-managed, historically profitable industrial manufacturing businesses.

Prophet focuses on lower middle market, asset intensive companies with strategically strong businesses and significant value creation potential, such as those found in partnerships, corporate carve-outs, divestitures and non-strategic businesses of larger companies. Representative business situations include special situations, succession planning, recapitalizations, reorganizations, turnarounds, acquisitions, mergers and bankruptcies.