A Utah-based logistics and industrial equipment distributor has secured a $1 million combined purchase order financing and accounts receivable facility from SouthStar Capital.
After securing several large purchase orders from a federal government contractor, the company needed additional working capital to fund supplier costs and fulfill the new orders.
SouthStar structured a flexible financing facility combining purchase order financing with accounts receivable funding. The solution provides the capital needed to support current orders while reducing the amount of internal cash tied up in each transaction.
With the new facility in place, the company is positioned to pursue larger opportunities, expand its capacity and continue growing its commercial and government-related business.
