nFusion Capital, a provider of financing solutions to small and middle-market businesses, provided a $5 million factoring facility to a Texas-based industrial services contractor. The financing was designed to support working capital needs, reduce delinquent tax liabilities, secure new projects and position the company for long-term growth.
The company faced disruptions after COVID and experienced delayed payments from a key customer. To retain its workforce, the company prioritized payroll obligations over remittance of employment taxes, resulting in a multi-million dollar tax liability.
Referred by its tax advisor, the company turned to nFusion Capital for a solution. nFusion structured a $5 million accounts receivable financing facility to provide immediate working capital. nFusion also advised the company about partnering with a payroll and tax company to help strengthen its accounts receivable management and tax compliance processes.
“At nFusion, we look beyond traditional financial metrics for high-growth companies struggling with challenges that impact their current performance,” Brice Reid, senior vice president, business development at nFusion, said. “Instead, we focus on the management team’s experience, the company’s customer base and performance, market position and future potential. With improved back office processes and a reliable long-term partner, the owners can focus less on payroll pressures and more on growth.”
