SG Credit Partners provided a $5.5 million senior secured cash flow term loan to an entrepreneur-owned specialty delivery service catering primarily to the medical industry.
The founder of the company needed growth capital to fund an emerging but unrelated new venture. The founder had previously signed a letter of intent with another lender that re-traded key deal terms during diligence. Faced with immediate time constraints, the founder needed a new debt provider that could execute quickly and provide certainty to close.
SG Credit Partners mitigated the fact that the new venture could not yet support a debt facility on its own by underwriting the cash flows of the company. Given the company’s growth trend, customer base and historical cash flow, SG Credit Partners provided covenant flexibility and permitted growth capital advances to fund the new venture. SG Credit Partners closed within the three weeks following the signing of the term sheet.
