Republic Business Credit provided a $3.65 million ledgered line of credit with extended customer eligibility up to 120 days, a $750,000 unbilled receivables facility and a $350,000 equipment term loan secured by equipment and real estate to a service provider to wireless carriers. The company is a portfolio company of a Midwest-based private equity group.
“It is one of those deals you will remember for a long time, the cashflows were struggling during the underwriting phase, but our commitment to a client first approach allowed us work through it together with the sponsor,” Stewart Chesters, CEO of Republic Business Credit, said..
The private equity firm brought in a turnaround consulting firm after acquiring the company once it realized the management team needed immediate support and long-term improvement. Republic Business Credit relied on the private equity firm’s commitment, the consultants 13-week cashflow and its knowledge of the industry to structure the facility.
“It was a great to see our leadership team dive head first with the sponsor and consultant to underwrite a creative solution,” Robert Meyers, president of Republic Business Credit, said
Republic Business Credit partners with private equity firms, banks, accountants, sponsors, lawyers and investment banks to collaboratively support entrepreneurs across the United States. It also provides working capital solutions to help growing businesses, start-ups and companies in turnaround or recoverable distressed situations.