The Hedaya Capital Group recently provided a $3.5 million factoring facility to a men’s lifestyle and streetwear clothing brand headquartered in New York. Launched in 1986, they successfully sold to mid-tier department stores such as J.C. Penney until the pandemic and resulting shutdowns substantially reshaped the retail apparel sector, favoring off-price retailers such as TJ Maxx and Burlington.
Post-COVID, the company decided to pivot away from department stores to focus on the burgeoning off-price market. They needed a working capital partner to fund their expansion into this arena. The company’s founder and Hedaya Capital’s senior advisor, Lou Barone, had known each other throughout their careers, and Barone introduced the company to Hedaya.
Hedaya Capital’s $3.5 million factoring facility will allow the company to refocus its business, fund its day-to-day operations and pay vendors timely.
“This has been a great working relationship,” the firm’s founder said. “As a quasi-startup, whenever I had issues, they were very receptive to answering my questions and my relationship manager was accessible throughout the process. They make things happen, and I appreciate their responsiveness.”
