The Hedaya Capital Group provided a $1 million factoring facility to a Miami-based garlic importer and distributor, supporting the company’s early-stage growth and working capital needs.
Initially launched with equity capital, operations ramped up in fall 2025, with 2026 projected revenues of $3 million. While sales were anticipated to begin in Q1/26, customer demand accelerated the timeline, with orders requiring fulfillment as early as December 2025. Given supplier payment terms — billing upon shipment from South America — combined with transit, packaging, distribution and extended U.S. customer payment cycles, the company required additional liquidity to bridge the working capital gap.
The founders are four experienced entrepreneurs, one of whom was familiar with the factoring process from another of his companies in the apparel industry. Knowing of Hedaya Capital’s established reputation for assisting startups, he reached out to Lou Barone, senior advisor of The Hedaya Capital Group, to explore options.
Barone and his team acted quickly to assess the opportunity, conduct on-site diligence and structure a tailored $1 million facility. The expedited execution was critical given the accelerated customer demand and time-sensitive nature of the supply chain.
“Even though their product was a little outside our typical scope, we were confident in the strength and experience of the management team, which mitigated a lot of the issues that can come with startups,” Barone said. “Their growth strategy for future product expansion and customized branding opportunities positions them well for long-term success.”
The new facility will enable the company to maintain consistent product flow from suppliers and growers and better position them for their strategic growth plans. The transaction underscores Hedaya Capital’s ongoing commitment to providing flexible financing solutions to high-potential startups and entrepreneurial ventures.
“Lou and the Hedaya team moved fast when we needed them to,” the company founder said. “We had customer orders landing earlier than planned and suppliers expecting payment upon shipment from South America. Hedaya structured a facility that fit our cycle and got it closed on a timeline that actually matched the business.”
