Recent Deal Highlights: $500,000 Hospitality Staffing Company and $2,000,000 Electrical Insulation Product Manufacturer
Release date: 1/31/2011
January 31, 2011 — Houston, TX –
Amerisource is pleased to announce it closed and funded 13 new client relationships in November and December 2010. This brings Amerisource’s total 2010 new commitments to just over 56 million in funding.
November 2010
$500,000
A/R Finance Facility
Hospitality Staffing Company
Missouri
|
|
Referral Source
Situation
Hospitality staffing company; in business since 1994
Company operating as debtor-in-possession under Chapter 11 since early 2010
Filed Chapter 11 bankruptcy in Spring 2010
Company seeking to refinance line of credit with its existing lender under more favorable terms
Approval Period
- 2 business days; additional 4 days to fund
|
Result
- Amerisource was brought into this deal to provide financing under more favorable terms as part of the Company's reorganization plan. Approval turnaround was rapid. And, once approval was obtained from the Bankruptcy Court, the actual refinance and payoff was fairly quick as well. The Company can now shift its focus from reducing financing costs to serving its customers and growing its business!
December 2010
$2,000,000
Asset-Based Revolver
Manufacturer of Electrical Insulation Products
New York
|
|
Referral Source
Situation
Manufacturer of porcelain electrical and insulation supplies; in business since late 1800s
Company exiting Chapter 11 with confirmed reorganization plan, and in need of working capital financing to pay off the DIP lender and fund the Company's working capital needs
Legacy costs from tax/pension liability still outstanding
Approval Period
- Nine business days; additional three days to fund
|
Result
- This was a real success story, as Amerisource refinanced the Company's DIP lender on more favorable terms and provided greater availability to fund the Company's growth. In addition, a subordination agreement was negotiated with the U.S. Government's Pension Benefit Guaranty Corporation. The Company's production lines are charged up again!
-END-
Founded in 1984 and headquartered in Houston, Texas, Amerisource is one of the largest and fastest-growing independent commercial finance companies in the country. Amerisource provides working capital financing and outsourced receivables management to small and middle market companies with financing needs from $50,000 to $10,000,000. Core products include asset-based lending revolvers, accounts receivable factoring, seasonal bank "over-lines", outsourced A/R, credit and collections management, debtor-in-possession ("DIP") financing, trade finance for importers, and export factoring. Amerisource also provides portfolio management and servicing for banks through its private label program America's Back-Office for Lenders (TM) and portfolio acquisitions and liquidations.