When a Miami-based diagnostics and toxicology laboratory needed relief from expensive credit card debt used to purchase equipment, Loeb stepped in with a fast, flexible financing solution. In just 38 days, we provided the equipment financing needed to help the company pay down high-cost debt while providing additional working capital to jumpstart the business.
The Challenge: Replacing High-Cost Debt Used to Purchase Laboratory Equipment
The company had invested significantly in the equipment needed to build its diagnostics and toxicology laboratory. But rather than financing those purchases through a traditional equipment loan, the company had accumulated a very large amount of credit card debt.
The high-cost debt was putting additional financial pressure on a business that needed capital to support its operations and growth. Refinancing the equipment offered an opportunity to replace that debt with a more appropriate financing structure while freeing up additional capital for the business.
The company needed a lender that understood the value of specialized laboratory equipment, could work through a few unusual circumstances, and most importantly, could move quickly.
Why Loeb: Flexible Medical and Laboratory Equipment Financing
The client came to us through an existing relationship with the company’s owner and confidence that the Loeb team could find a way to help.
That confidence proved important because the transaction required flexibility. While we typically focus on larger equipment financing transactions, the team recognized an opportunity to help a growing business address an immediate financial need.
Speed was equally important. Within days of engagement, a team member traveled to the client’s facility to conduct an onsite equipment appraisal inspection, allowing the underwriting process to move forward without unnecessary delays.
The Solution: Equipment Financing in Just 38 Days
Our team structured an equipment financing solution designed to help the laboratory replace its costly credit card debt and provide additional capital to support the business.
But securing the financing required overcoming another hurdle.
Because the equipment was in leased space, we needed a landlord access agreement before the transaction could be completed. The landlord initially presented a challenge, but our underwriting team worked directly with the parties involved to explain the requirements and ultimately secure the necessary landlord waiver.
With the appraisal completed quickly, underwriting moving forward, and the landlord agreement in place, we were able to take the transaction from engagement to funding in just 38 days.
The Outcome: Lower-Cost Financing and New Working Capital
The financing gave the diagnostics company the opportunity to move away from their expensive credit card debt associated with its equipment purchases and transition to a financing structure better suited to its business.
Just as importantly, the financing provided additional working capital the company could use to jumpstart operations and focus on moving the business forward.
The transaction demonstrates how laboratory equipment financing can do more than fund the purchase of new machinery. By leveraging the value already tied up in existing equipment, businesses can refinance high-cost debt, improve financial flexibility, and access working capital for future needs.
The team’s combination of speed, flexibility, and hands-on problem solving helped turn existing laboratory equipment into a resource for a healthier financial future.
