Pathway Capital closed a $3.5 million non-notification factoring facility for a startup specialty hauling company based outside of Houston and a $7 million senior secured revolving credit facility to a regional trucking and warehousing company in northern New Jersey.
Pathway Capital acted as sole arranger for the factoring facility, which provided a 90% advance on receivables purchased as well as 120-day terms on multiple accounts.
“There were complexities with this transaction that made it hard for other capital solutions firms to get it closed. We took the time to understand the client’s concerns and find the right lender partner,” Glenn Thomas, president of Pathway Capital, said.
Pathway Capital also acted as the sole arranger for the revolving credit facility, which consists of a line of credit collateralized by accounts receivable and inventory. The client is using the facility to finance its ongoing working capital needs. The facility allows for an 85% advance rate, an advance on unbilled receivables and a silo that enables the company to extend 120-day terms.
“We have worked with this client for several years on a range of transactions, from $3 million to $75 million” Thomas said. “We are always pleased when companies come to us time and again to arrange financing efficiently to bridge cash flow needs, reduce debt service or for growth capital.”
Pathway Capital is a boutique capital advisory firm. Its deals range from below $5 million to the $70 million to $100 million range.
