SouthStar Capital funded a $500,000 accounts receivable financing facility for a Charlotte-based company that provides uniforms to hospitals and senior living facilities across the Southeast.
As sales reached approximately $100,000 per month, the company faced growing cash flow challenges caused by delayed customer payments. With funds tied up in receivables, it became increasingly difficult to restock inventory and meet rising demand. To continue expanding operations without taking on debt, the business sought a reliable working capital solution that could provide immediate access to cash flow.
SouthStar Capital structured a $500,000 accounts receivable facility designed to unlock capital from outstanding invoices, enabling the company to receive same-week funding on completed sales. This solution allowed the business to purchase inventory, support upcoming uniform events and maintain consistent operations without disruption.
“With this facility, SouthStar Capital provided the client with a fast and flexible financing option that keeps their business moving,” Michael Haddad, president at SouthStar Capital, said. “We’re proud to support companies that play an essential role in serving healthcare and senior living communities by giving them the financial tools they need to grow with confidence.”
By bridging the gap between receivables and payments, the facility has allowed the company to maintain stability, strengthen supplier relationships and plan for continued expansion.
