Southstar Capital funded a $500,000 combined purchase order and accounts receivable financing facility for a Texas-based, early-stage functional beverage company.
Following new retail distribution through a national grocery chain and a partnership with a distributor, the company required working capital to support inventory production, fulfill purchase orders and manage the timing gap between manufacturing and customer payments.
Southstar Capital structured a combined purchase order and A/R facility that enables the company to fund production runs and utilize their receivables to turn into immediate working capital. This structure provides the flexibility needed to support retail expansion while maintaining consistent operations.
With improved access to working capital, the company is positioned to expand its retail footprint, introduce new product offerings and continue building momentum in the functional beverage space.
