Entrepreneur Growth Capital (EGC) closed a $5 million asset-based facility to a family-owned manufacturer of chef-quality kitchen products.
The company saw unprecedented growth during the pandemic, but when demand fell off, management failed to adjust. Two years of losses ensued, and the company was in need of a more flexible lender.
The credit facility provides availability against both accounts receivable and inventory and is sensitive to both the seasonality of the sales cycle and the concentrations created by some big box retailers.
“EGC has really enjoyed working with management,” Dean Landis, CEO of EGC, said. “About six months ago, they brought on a new chief financial officer who has really helped turn the company around. With the increased availability under EGC line of credit, we expect the company to meet and surpass its previous level of success.”
