Introduction
When businesses are looking to expedite their growth, they’ll likely need something that gives them a leg up. This may look like additional financial resources, or faith from lenders that their business is set on the trajectory they have planned.
Challenges
One of our current clients, a large forging and metalworking facility, needed to purchase new equipment to expand its business capabilities. The company specializes in rolled ring and pot die forgings, discs, bars, and blocks. To keep moving the operations forward, this needed to be done quickly. Plus, the client was experiencing another roadblock – their current financials.
Our client came to us after a previous positive experience on their current loan and looked to us for refinancing. This private equity-owned company needed to be able to be able to leverage its acquisition and gain good favor with the banks.
In most refinancing scenarios, the company would have to apply based on their present financial situation and get the private equity firm they were working with to provide a guarantee. Even when all signs point to business growth, offering a guarantee can be a risky endeavor for private equity firms, creating an obstacle that can be hard to overcome.
Solutions
Loeb was able to help the metalworking company expand its business capabilities by offering quick closing for a new acquisition. Working in conjunction with a factor and a real estate lender, the business was able to close within a month with a $6 million term loan refinance.
Every industry has unique challenges and opportunities. Loeb’s deep experience and knowledge of the metalworking industry make us qualified to offer tailored solutions to clients without focusing on financials out of context.
