Rosenthal & Rosenthal, a family-owned commercial finance company, recently made a significant move to bolster its services by acquiring the U.S. assets of Accord Equipment Finance. In a conversation with ABF Journal’s Editor-in-Chief Rita Garwood, Paul Schuldiner, Chief Lending Officer, and Mike Wells, Senior Vice President of Capital Markets at Rosenthal & Rosenthal, delve into the motivations behind the acquisition, the integration of teams, and the strategic role equipment finance will play in the company’s future growth.
The following Q&A has been edited for conciseness and clarity:
Rita Garwood: Paul and Mike, thank you for joining me today. To start, can you share what motivated Rosenthal & Rosenthal’s acquisition of Accord Equipment Finance?
Paul Schuldiner: Rosenthal has always been focused on asset-based lending, which typically involves financing receivables, inventory, and occasionally real estate or equipment. Recently, we’ve been seeing more demand from clients looking for a one-stop shop solution — short-term working capital alongside long-term equipment financing. While we’ve provided equipment financing on occasion, it wasn’t historically one of our core strengths. As these requests became more frequent, we realized it made sense to explore adding equipment leasing more formally into our product suite. This acquisition allows us to meet that demand, particularly as we continue to grow in regions like the Midwest.
Garwood: How does this acquisition fit into Rosenthal & Rosenthal’s broader growth strategy?
Schuldiner: For many years, Rosenthal has been known primarily as a factoring company. However, over time, we’ve expanded into other areas, like asset-based lending and purchase order financing, to diversify our services. Our broader growth strategy focuses on providing a wider range of financial solutions to middle-market businesses. Equipment finance was a missing piece that we were consistently being asked to provide, so this acquisition is a critical step toward expanding our offerings and becoming a comprehensive financing provider.
Garwood: Mike, can you elaborate on how Rosenthal plans to use this acquisition to target specific industries?
Mike Wells: Two industries we’re immediately focusing on are manufacturing and healthcare. Manufacturing is already a core area for Rosenthal, but the addition of Accord’s equipment finance expertise will help us meet the increasing demand for advanced manufacturing technologies like robotics. The healthcare sector, which Rosenthal hasn’t historically concentrated on, is another key area where Accord has deep expertise. With both industries requiring capital-intensive equipment, we see this acquisition as an opportunity to offer long-term financial solutions in these sectors.
Garwood: The press release announcing the acquisition mentioned the opening of a Chicago office as part of this acquisition. What’s the strategic importance of that expansion?
Schuldiner: We’ve had offices in New York and Los Angeles for years, and more recently, we’ve expanded into Atlanta. However, we’ve always seen the Midwest as an important market, especially in cities like Chicago. We hired Andrew O’Day as our Chicago-based Business Development Officer, and we were seeing growing demand for both working capital solutions and equipment finance in the region. The acquisition of Accord sped up our plans to establish a full-service office in Chicago, which is essential for building a truly national platform for our asset-based lending business.
Garwood: Integrating teams can often be challenging. How do you plan to integrate the Accord Equipment Finance team with Rosenthal’s existing staff?
Schuldiner: Rosenthal and Accord are both non-bank lenders, which minimizes many of the potential integration challenges. We’ve always been a collateral-driven finance company, with a family-owned, nimble approach to decision-making. Our management teams have had a longstanding relationship, as Rosenthal used to refactor our Canadian risk with Accord’s factoring division. Culturally, the teams are aligned, and that’s made the integration process seamless so far. Mike can probably add more to that.
Wells: Yes, absolutely. Even before the acquisition, Rosenthal and Accord had cross-referral opportunities, so we already knew and respected each other. We’ve spent the first few weeks learning about each other’s products, and I expect the integration to be smooth since both companies share a similar approach to business and decision-making.
Garwood: In the press release announcing the acquisition, Peter Rosenthal mentioned the importance of finding a partner with a “credit-first approach.” How does that philosophy influence your operations?
Schuldiner: When we met the Accord team, we were impressed by their background in both equipment finance and commercial banking, particularly in managing credit and workout situations. At Rosenthal, we’ve always emphasized prudent, credit-focused growth — we’re here for the long term, not a quick sprint. The Accord team shares that mindset, and that’s why the partnership made sense. We looked at other opportunities, but the alignment wasn’t the same. With Accord, we saw a similar credit-first philosophy, which fits perfectly with Rosenthal’s approach to building long-term relationships.
Garwood: What impact do you think this acquisition will have on the broader equipment finance space?
Wells: I think this acquisition will fuel healthy competition within the independent finance sector. By expanding our product suite beyond one form of financing, we’re setting an example for other independent finance companies. We’re confident that offering both working capital and long-term equipment finance solutions will encourage others to innovate and grow as well. For Rosenthal, this move strengthens our position in the market and sets us apart by offering more efficient solutions than traditional banks can provide.
Garwood: Are there any final thoughts you’d like to share about the acquisition?
Schuldiner: I think what excites us the most is how this acquisition opens up new opportunities with clients and referral sources that we hadn’t previously reached. By combining the equipment leasing expertise from Accord with Rosenthal’s existing capabilities, we can provide a more holistic financial solution to businesses. We’re looking forward to growing in this space and achieving the level of recognition you mentioned—being listed among the top independent finance companies.
Wells: I agree. The addition of equipment finance is going to be a game-changer for Rosenthal. We’re excited to see how this will drive growth across multiple industries and help us expand into new markets.
Garwood: Thank you both for taking the time to talk today. We look forward to seeing how this acquisition unfolds for Rosenthal & Rosenthal.
