Wintrust Receivables Finance closed a new $3 million accounts receivable line of credit for a Southwest-based third-party logistics company.
The company provides a mix of transportation solutions, including truckload, LTL, intermodal, and expedited services to middle-market companies throughout the U.S. Despite a difficult domestic freight market, the company was able to produce year-over-year revenue growth while maintaining profitability through 2023. The company is targeting additional growth in 2024 as the domestic freight market recovers from a historically difficult year.
Prior to moving to Wintrust Receivables Finance, the company had a higher cost of capital factoring deal in place to support its working capital needs. The company was looking for a new lender who would have the capacity to support its growth while also reducing its effective cost of capital. In addition to the new line of credit, the Wintrust Receivables Finance team is also providing treasury management products and services.
“We were immediately impressed by the management team’s attention to detail and how they were managing the company during the difficult market conditions,” Jason LeuVoy, national head of originations at Wintrust Business Credit, said. “The WRF team is happy to play our part in the company’s future growth plans by delivering a flexible and aggressive working capital financing structure. The WRF team has a long track record of supporting the working capital financing needs of companies in the logistics industry during multiple industry cycles, and we think this transaction will make another excellent addition to our portfolio of transportation and logistics clients.”
