Republic Business Credit partnered with a broker in the apparel community to provide a $750,000 non-recourse factoring facility for an apparel manufacturing company. The facility was used for larger wholesale accounts as well as some collection only services for some of the boutique sales and house accounts.
Republic Business Credit’s initial funding provided the ability to deliver orders during the first quarter and buy additional raw materials for upcoming spring and summer seasons. In the months since commencing their facility with Republic Business Credit, the company is on pace to quadruple its revenue compared to the previous year.
The apparel manufacturing company provides Made in America private label clothing such as knit shirts and screen printed t-shirts through its wholesale strategy, while reserving its own brand for a direct to consumer only offering. While initially the facility started as a factoring solution, Republic Business Credit expects to add on an inventory loan in the coming months to support both wholesale and direct to consumer sales growth.
“Apparel and consumer goods manufacturers are experiencing the greatest amount of negative press of almost any industry at this moment, from tariffs to trade deals to coronavirus concerns,” Robert Meyers, president of Republic Business Credit, said.
Republic Business Credit supports brands through various cycles of their growth, increasing facility limits up to $10 million as needed, including adding on inventory, seasonal overadvances or direct to consumer loans. The company provides asset-based loans, ledgered lines of credit, non-recourse factoring, factoring and direct to consumer loans including e-commerce working capital.
“We are proud to support the manufacturing community of Los Angeles, having supported all of its cycles for nearly 25 years and we will be here for another 25 years,” Matthew Begley, COO of Republic Business Credit, said.
