Posted on March 19, 2020
Republic Business Credit works with the Azadian Group and Change Capital to provide flexible growth capital during the coronavirus pandemic
LOS ANGELES (PRWEB) MARCH 19, 2020 – When the Azadian Group needed a senior debt partner to help restructure the balance sheet of QX Logistix, they chose a longtime friend and partner in Republic Business Credit. In addition, Republic Business Credit providing a $3,500,000 Ledgered Line of Credit to QX Logistix to supplement a $750,000 subordinated debt facility provided by Change Capital. At a time when there is widespread concern over the short term future for small business, QX turned to Azadian, Change and Republic to provide a flexible, adaptable and sterilized facility to meet the ever-changing landscape.
Republic was chosen by the Azadian Group due to its adaptable, creative and dependable reputation funding its original term sheets. Azadian Group acquired the company in 2019 and have made significant improvements in the short term that are already paying dividends as QX Logistix is well equipped to keep up with growing demand. Raffi Azadian, CEO of both the Azadian Group & Change Capital, knew several of the team at Republic, including its President, Robert Meyers and VP of Business Development, William Kemp. Raffi, Robert and William all have leading roles in the Secured Finance Network and Turnaround Management Associations that equip them to help small and medium sized companies throughout this period of uncertainty.
QX Logistix, based in Vernon, CA, provides transportation, warehousing, ecommerce fulfillment, and pool distribution along with several consolidation and deconsolidation services. The company services a significant portion of the consumer packaged goods industry, including electronics, apparel, furniture and warehousing for several of the largest online retailers in the country. QX is led by its CEO, Chris Carey, who said “The partnership between the Azadian Group and the Republic Business Credit team was like watching a musical symphony; they understood our needs and provided a dynamic, combined growth facility that will set us up for long-term success.” Chris further said, “The logistics and warehousing industry has been through disruption before with the LA Port strike and earthquakes. I am confident that, with partners like these, we are well-positioned to confront any challenges ahead.”
Republic provided a $3,500,000 ledgered line of credit and a $250k Unbilled Receivables facility to help the cashflow gap between work being completed and the end customer accepting the invoices. In unison with Republic, Change Capital provided a $750,000 subordinated debt facility along with a third party which provided a $500,000 equipment term loan to provide additional liquidity. Robert Meyers, President of Republic, said, “It was great to work with Raffi and the teams at the Azadian Group and Change Capital again.” Robert further said, “Having known Raffi for over 15 years now, it is always a pleasure to work with someone we like, respect and have the upmost confidence they will be successful.” Raffi Azadian, CEO of both Change Capital & the Azadian Group added, “During a time when lenders are needed most to help the small business community, we chose a partner in Republic and Robert Meyers that shared our ideals, values and commitment to the industry.” Raffi further added, “The QX Logistix story is just beginning, we are excited to be able to support Chris and the team through both the equity and junior debt side to keep up with demand.” The initial funding took place on Monday, March 16th, 2020, a day that saw the Dow Jones Industrial Average lose the greatest amount of value ever in a single day.
Republic Business Credit partners with banks, accountants, sponsors, lawyers and investment banks to collaboratively support entrepreneurs across the United States, to create value, by enabling them to focus on growing successful businesses.
ABOUT REPUBLIC BUSINESS CREDIT:
Republic Business Credit provides fast and flexible working capital solutions to help rapidly growing businesses, start-ups, and companies in turnaround or recoverable distressed situations. Winner of the Emerging Growth Company of the Year award from the Louisiana Chapter of the ACG, and the FactoringClub’s Best Factoring Company Award for 2018, the Republic Business Credit team has the expertise necessary to meet the nuanced financial needs of companies across a wide variety of industries. It provides asset-based loans, ledgered lines of credit, non-recourse factoring, factoring and direct to consumer loans including e-commerce working capital. Since its founding in 2011, Republic Business Credit has provided over $10 billion in working capital.
Interested parties may contact Joanne Chesters at 504.262.8624 or email jochesters@republicbc.com.
ABOUT AZADIAN GROUP:
Founded in 2003, Azadian Group is a boutique private equity investor focused on distressed M&A opportunities in the lower middle market. Interested parties may contact: info@azadiangroup.com
ABOUT CHANGE CAPITAL:
Change Capital provides creative, flexible, and timely capital solutions to small and medium businesses across the country.
Change Capital’s solutions include:
- Interim working capital to improve a business’ financial condition in preparation for bank/non-bank financing
- Contingent capital availability to take advantage of preferential purchasing or investment opportunities, execute on large or unexpected customer contracts and purchase orders, accelerate growth and expansion opportunities, buyout equity partners, provide liquidity to private equity owners, etc.
- Bridges to 3rd party financing, M&A or other liquidity events
- Subordinated stretch pieces and over-advances in conjunction with senior institutional lenders
Interested parties may contact: info@change.capital
Posted on March 18, 2020
Republic Business Credit partners with a leading industry broker to factor an apparel manufacturing company to support their growth and supply chain challenges
LOS ANGELES (PRWEB) MARCH 18, 2020 – When an apparel manufacturer sought growth in 2020, they were recommended by a known expert in non-recourse factoring in the California apparel market the vote of confidence to utilize Republic Business Credit’s growing platform of solutions. Since Continental Business Credit became part of Republic in 2019, Republic continues to fund and support growth focused entrepreneurs using its platform of funding solutions. Whether the solution is a traditional non-recourse factoring facility, e-commerce facility, direct to consumer loan or asset based loan, Republic steps up to support Brands.
Republic partnered with a leading broker in the apparel community that wanted a known traditional player with a flexible client focused approach. While there are several options of course, he noticed Republic is always a featured contributor and advertiser in the California Apparel News along with industry events and tradeshows. The broker said, “While I have known of the Republic Business Credit team, as Republic isn’t a new name to the apparel factoring industry in LA, now with Continental combination, Republic is proving its commitment to Brands at a time when others are pausing or being much less creative”
The company provides Made in America private label clothing such as knit shirts and screen printed t-shirts through its wholesale strategy, while reserving its own brand for a direct to consumer only offering. The company saw a surge in growth over the past 12-18 months as the uncertainty of tariffs and trade deals puts is American based supply chain at a distinct advantage. While initially, the facility started as a factoring solution, Republic expects to add on an inventory loan in the coming months to support both the wholesale and direct to consumer sales growth.
Republic provided a $750,000 Non-Recourse Factoring Facility for the larger wholesale accounts as well as some collection only services for some of the boutique sales and house accounts. Republic’s initial funding provided the ability to deliver orders during the first quarter and buy additional raw materials for the upcoming spring and summer seasons. In a short few months since commencing their facility with Republic, the company is on pace to quadruple its revenue compared to the previous year. Their founder attributes it to Republic, “As a result of our increased confidence to buy raw materials, we are able to focus on growing our business.”
“Apparel and consumer goods manufacturers are experiencing the greatest amount of negative press of almost any industry at this moment, from tariffs to trade deals to coronavirus concerns”, says Robert Meyers, President of Republic. Matthew Begley, COO of Republic adds on, “We are proud to support the manufacturing community of Los Angeles, having supported all of its cycles for nearly 25 years and we will be here for another 25 years.” Republic supports brands through various cycles of their growth, increasing facility limits up to $10,000,000 as needed, including adding on inventory, seasonal overadvances or direct to consumer loans.
Republic Business Credit partners with brokers, banks, accountants, sponsors, lawyers and investment banks to collaboratively support entrepreneurs across the United States, to create value, by enabling them to focus on growing successful businesses.
Republic Business Credit provides fast and flexible working capital solutions to help rapidly growing businesses, start-ups, and companies in turnaround or recoverable distressed situations. Winner of the Emerging Growth Company of the Year award from the Louisiana Chapter of the ACG, and the FactoringClub’s Best Factoring Company Award for 2018, the Republic Business Credit team has the expertise necessary to meet the nuanced financial needs of companies across a wide variety of industries. It provides asset-based loans, ledgered lines of credit, non-recourse factoring, factoring and direct to consumer loans including e-commerce working capital. Since its founding in 2011, Republic Business Credit has provided over $10 billion in working capital.
Posted on March 12, 2020
Republic Business Credit partners with leading West Coast Private Equity group to aid in the leveraged buyout of a distressed food manufacturer with high growth potential
LOS ANGELES (PRWEB) MARCH 12, 2020 – When a private equity group needed a debt partner that combined industry knowledge with dynamic execution, they choose Republic Business Credit’s West Coast team to complete the leveraged buyout of the food manufacturer. Republic prides itself by supporting profitable, growth-orientated businesses in addition to distressed companies under its platform. Republic provides Asset Based Loans, E-Commerce & Direct to Consumer loans into growth companies, while favoring its Ledgered Line of Credit and Factoring solutions for challenged, distressed or bespoke situations. Republic expanded its ABL team last year, with the additions of Matthew Begley as Chief Operating Officer, and Jason Carmon as EVP, Western Regional Manager.
The facility was provided to a California based natural food manufacturing company. The company sells into Whole Foods, Sprouts and several boutique stores across California. The private equity sponsor originally acquired the company through a leveraged buyout of a distressed company. The product category, management team and significantly reduced price made it a rare opportunity to complement their portfolio of companies. Republic partnered with the equity sponsor to provide an asset-based loan in less than thirty days.
Republic Business Credit provided a $4.5 million Asset Based Loan with an accordion up to $7 million in order to support the company’s projected growth. In addition to the revolver, Republic structured a $3 million equipment term loan that leveraged their existing manufacturing equipment and a $1 million sub-limit for new capital expenditures. Republic’s COO, Matthew Begley says, “We are excited to partner with the management team and the private equity fund to support the manufacturers’ growth in the food space.”
Republic’s initial funding provided for the necessary runway to implement the full turnaround plan while reducing the size of the check the fund needed to close the transaction. After just a few months since commencing their facility with Republic, the company is on pace to be cashflow positive for all of 2020.
“Republic is a proud supporter of the manufacturing industry and relieved to see about 22,000 jobs were created per month in 2018, nearly 500,000 in the past 30 months alone according to a recent Forbes article”, says Robert Meyers, President of Republic, “Manufacturers often turn to Republic over the cumbersome SBA 504 or SBA 7A Loan process, ideally, if time permits the entrepreneur can even utilize both.” Republic designed its team, products and locations to support the largest number of smaller and medium-sized businesses in the US.
Republic Business Credit partners with private equity firms, banks, accountants, sponsors, lawyers and investment banks to collaboratively support entrepreneurs across the United States, to create value, by enabling them to focus on growing successful businesses.
Republic Business Credit provides fast and flexible working capital solutions to help rapidly growing businesses, start-ups, and companies in turnaround or recoverable distressed situations. Winner of the Emerging Growth Company of the Year award from the Louisiana Chapter of the ACG, and the FactoringClub’s Best Factoring Company Award for 2018, the Republic Business Credit team has the expertise necessary to meet the nuanced financial needs of companies across a wide variety of industries. It provides asset-based loans, ledgered lines of credit, non-recourse factoring, factoring and direct to consumer loans including e-commerce working capital. Since its founding in 2011, Republic Business Credit has provided over $10 billion in working capital.
Republic Business Credit provides fast and flexible working capital solutions to help rapidly growing businesses, start-ups, and companies in turnaround or recoverable distressed situations. Winner of the Emerging Growth Company of the Year award from the Louisiana Chapter of the ACG, and the FactoringClub’s Best Factoring Company Award for 2018, the Republic Business Credit team has the expertise necessary to meet the nuanced financial needs of companies across a wide variety of industries. It provides asset-based loans, ledgered lines of credit, non-recourse factoring, factoring and direct to consumer loans including e-commerce working capital. Since its founding in 2011, Republic Business Credit has provided over $10 billion in working capital.
Interested parties may contact Joanne Chesters at 504.262.8624 or email jochesters@republicbc.com.
Posted on December 11, 2019
Republic partnered with an investment bank to provide a ledgered receivables line of credit to support exponential growth
NEW ORLEANS (PRWEB) DECEMBER 11, 2019 – When a private equity owned, natural food manufacturing company sought their first debt facility, they chose Republic Business Credit “Republic” to feed their ambitious growth plans. Republic provided a flexible, covenant free working capital facility that will enable strategic raw material purchases to mirror customer demand. Republic partnered with a national investment banking firm that was hired by the client and their sponsor to obtain a line of credit. Despite many suitors, the client chose a ledgered receivables line instead of a traditional Asset Based Loan. The company is heavily investing present cashflow into their future growth, its CFO said, “We almost chose a traditional ABL Loan, but their covenants and restrictive borrowing base did not position our company for future success.” He further stated, “Republic was transparent with their legal documents, availability and provided immediate access to the owners of Republic to help close the facility inside of three weeks.”
Republic provided a scalable solution that aligned with its growth plans. The company manufacturers a natural whole grain with applications across the food supply chain and distributes the homegrown products into the wholesale and grocery space. Some customers prefer their grains to complement their own product development in the natural food space. The company partners with emerging and established brands to deliver a private labeled product from one of their affiliated manufacturing facilities. The company adds value to the entire food supply chain as they create end to end contract manufacturing. The private equity firm supported a few early acquisitions and provided the necessary startup capital. The PE firm wanted to utilize the co-founders technological application to address one of the largest markets, over $2+ trillion food industry according to the team at Plunkett Research. Republic continues to support food and natural food brands as we build our expertise in the industry.
Republic provided a $6.5 million Receivables Line of Credit facility with no covenants or cash flow requirements. Republic’s ongoing funding will be used for the purchase of raw materials, equipment and to invest in their distribution assets. The company is planning to increase their revenue by 300% in 2020 and see their first months of profitability. “The natural food industry is exploding with new brands and it is one of the most important developments to improving our overall health.” says Stewart Chesters, CEO of Republic. “We support several entrepreneurs in the food and natural food industries. It is a nice bonus when they are well-capitalized but it isn’t normally the case or required by us.” Republic designed its team and products to support smaller and medium-sized companies.
Republic Business Credit provides flexible working capital solutions to help rapidly growing businesses, start-ups, and companies in turnaround or recoverable distressed situations. Winner of the Emerging Growth Company of the Year award from the Louisiana Chapter of the Association of Corporate Growth, and the FactoringClub’s Best Factoring Company Award for 2018, the Republic Business Credit team has the expertise necessary to meet the nuanced financial needs of companies across a wide variety of industries. It provides receivables finance, factoring and asset-based facilities, including ABL, receivables purchase lines of credit, inventory, equipment and purchase order lines. Since its founding in 2011, Republic Business Credit has provided over $4 billion in fast, flexible working capital.
Posted on December 9, 2019
Republic partnered with a turnaround consulting firm to provide a receivables line of credit to help support the trucking firm’s growth
CHICAGO (PRWEB) DECEMBER 09, 2019 – When an Intermodal trucking company needed to refinance its existing line of credit, they sought out Republic Business Credit (“Republic”) to meet their growth needs. Republic provided a 92% advance rate to improve their liquidity and enable the company to remain current on its fuel, tax and payroll needs. Republic partnered with a leading Midwest-based turnaround consulting firm that was hired by a large bank to refinance the line of credit while the bank maintained the treasury management services. In 120 days, the turnaround firm increased its liquidity and improved cashflow. Republic provided a creative and scalable structure to aid in the future growth plans of the client.
The company provides intermodal and over the road transportation services for railroad, manufacturing and distribution companies located throughout the country. The company provides both in transit rail services and long-distance hauling. So far in 2019, twice as many carriers have failed than in all of 2018 due to decreasing prices and rising supply costs. Insurance payments were responsible for the failure of Denver based HVH Transportation, Inc. according to Transport Topics article in September. Republic was chosen as a partner to provide additional liquidity along with the flexibility for short term over-advances should that type of payment ever be required. Republic’s facility will enable the company to take advantage of growth opportunities as carriers continue to consolidate across the transportation industry.
Republic provided a $1.5 million Receivables Line of Credit facility with no covenants or cash flow requirements. Republic’s initial funding fully repaid the existing line of credit facility and opened with more than $250k of additional availability. In a short few months since commencing their facility with Republic, the company is on pace to increase their revenue and improve their profitability. Their CEO attributes it to Republic, “As a result of our increased confidence to meet our fuel and payroll obligations, we are able to take care of our team while growing our business.”
“Transportation companies are the lifeblood of America and one of the leading economic indicators. Republic is proud to support entrepreneurs,” said Robert Meyers, President of Republic. “We have several customers that support the supply chains of manufacturing, railway, automotive, energy, furniture and food industries.” According to the Small Business Administration of the U.S. government, small businesses make up 99.7% of the US employer firms. Republic designed its team and products to support smaller and medium-sized companies.
Republic Business Credit provides flexible working capital solutions to help rapidly growing businesses, start-ups, and companies in turnaround or recoverable distressed situations. Winner of the Emerging Growth Company of the Year award from the Louisiana Chapter of the Association of Corporate Growth, and the FactoringClub’s Best Factoring Company Award for 2018, the Republic Business Credit team has the expertise necessary to meet the nuanced financial needs of companies across a wide variety of industries. It provides receivables finance, factoring and asset-based facilities, including ABL, receivables purchase lines of credit, inventory, equipment and purchase order lines. Since its founding in 2011, Republic Business Credit has provided over $4 billion in fast, flexible working capital.
Posted on December 3, 2019
Republic Business Credit strengthens its national platform; adds new products, talent, deep industry experience and expands into California
LOS ANGELES (PRWEB) DECEMBER 03, 2019 – Republic Business Credit (“Republic”) further expanded its business finance platform with the acquisitions of Continental Business Credit (“CBC”) and Fast A/R Funding. Republic partnered with CBC’s CEO, Matt Begley, to transfer substantially all of its assets to form Republic’s new West Coast office. Republic is expanding its national platform through a dual strategy of organic growth and complementary acquisitions that add new products, talent, and geographic expansion. Republic represents one of the largest entrepreneurial finance companies in the United States. Republic’s new products will include traditional Non-Recourse Factoring, Asset Based Lending, and a technology-enabled small ticket factoring platform to add onto its Ledgered Line of Credit and Factoring offerings.
Stewart Chesters continues as the CEO of Republic, with Robert Meyers as President and Matt Begley joining as COO. “It is a rare opportunity to align yourself with another founder that shares your vision such as Matt,” says Stewart Chesters, CEO of Republic. “Robert and I are thrilled to continue this journey together with the addition of Matt to our executive team.” Matt Begley added, “Republic has built a strong foundation and reputation in the commercial finance industry. Together, we represent a formidable force and I am excited to work with Stewart and Robert.”
Republic Business Credit will remain headquartered in New Orleans, with offices in Los Angeles, Houston, Chicago, Nashville and Minnesota. Republic is excited to announce that Jason Carmona was promoted to EVP, Western Regional Manager, with the task of building out a new business team that supports its ambitious growth goals. Additionally, Vanessa Johnson joins the team as EVP, Asset Based Lending, adding significant depth and experience. “We are proud to invest in our company’s future. The addition of Jason, Matt, Vanessa, and their teams add significant ABL and Apparel Factoring expertise to our team,” says Robert Meyers, its President, “With more than 70 years of Asset Based Lending and Non-Recourse factoring experience, Matt, Jason, and Vanessa are the right leaders as we enhance our client solutions”
Republic has significant available capital to support our enterprise’s growth for the foreseeable future. “Republic emphasizes adding great people that supplement our culture as we continue to be a vibrant, diverse and forward-looking organization. Our team has the breadth of experience to maximize today’s opportunities, embrace technological shifts and exceed the evolving needs of our clients,” said Robert Meyers. Republic looks forward to partnering with additional management or ownership groups that are equally excited about the future of the commercial lending industry.
Republic Business Credit supports banks, investment banks, private equity, accountants, lawyers and consultants across the United States to create value, strengthen relationships and provide value creation services to growing businesses.
Posted on August 15, 2019
New Orleans, LA – Republic Business Credit is proud to announce that Andrea Marus has been promoted to Vice President of Business Development in its new Nashville Office. According to a recent Forbes article, Nashville located in Davidson County, is the 7th fastest growing metro area in the United States. Andrea grew up in Tennessee before attending the College of Charleston. Republic strongly believes Nashville is a fantastic opportunity for growth in a market that is underserved by the non-bank commercial finance community. This marks Republic’s sixth established market presence and its second new market in the past 12 months. Andrea is already a member of the Tennessee Chapter of the Turnaround Management Association, Mid-South Commercial Financial Association and will be joining the Tennessee Chapter of the Association for Corporate Growth.
Andrea joined Republic in 2016 as AVP, Underwriter in its New Orleans Headquartered office. Prior to joining Republic, Andrea spent nearly 3 years and completed the Financial Analyst training program for Wells Fargo Commercial Bank. She always wanted to expand her career into the business development side and will bring a great deal of credit and underwriting experience to support intermediaries and clients throughout the Mid-South region. Her office will be at One Nashville Place, 150 4th Ave N in downtown Nashville. Republic hopes to appoint a junior business development officer in the future to support Andrea so she can keep up with the growing demand for non-bank lending solutions in the Greater Tennessee area.
“We have been fortunate to watch Andrea excel as an underwriter in our New Orleans office and we are thrilled she accepted the challenge to continue building our national sales platform with her promotion this summer into the rapidly growing Nashville market,” said Stewart Chesters, CEO of Republic Business Credit.
Republic is committed to helping entrepreneurs throughout the country with the bulk of its presence in the Midwest, Upper Midwest, Gulf Region and now Mid-South & Southeast regions. Tennessee and its surrounding states are often thought of as flyovers by people in the Northeast, where Republic is doubling down on its support of founders between the two coasts with its launch into Nashville to complement its presence in Minneapolis, Chicago, Houston and New Orleans offices that service clients in over 35 states.
Posted on August 15, 2019
New Orleans, LA – When a sponsor owned government contractor needed additional liquidity during the longest government shutdown in United States history, they set sail to partner with Republic Business Credit. When their traditional bank facility wouldn’t support their growth, one of their peer companies in the same sector who was one of Republic’s clients recommended Republic as a solution.
Due to the cyclical and large project nature of the shipyard repair business, they needed a flexible and covenant free solution that leveraged their government and commercial receivables. Additionally, the company sought a financing partner that understood the complexity of being a sponsored owned company combined with dealing with government assignment of claims procedures.
Republic provided a $6.0 ledgered line of credit combined with a $500,000 supplemental mobilization call facility that smoothed out any working capital gaps due to the processing of government paperwork or payments. Additionally, Republic provided a covenant free solution to help assist with any seasonal cashflow strains.
“Government shipyard contractors provide marine and defense skilled employment opportunities and build strong communities where they operate,” said Stewart Chesters, Chief Executive Officer of Republic. “As a commercial finance company that specializes in government contractors, we are excited to partner with businesses that support our national defense efforts.”
Republic Business Credit supports private equity sponsors and other capital partners across the United States to create value, implement turnaround plans and grow successful businesses.
Posted on August 15, 2019
Chicago, IL – When a temporary staffing and consulting firm began to outgrow their existing line of credit, they sought out Republic Business Credit to provide a larger facility and a higher advance rate to keep up with their escalating payroll needs. Republic partnered with the community bank to provide a flexible receivable facility while the referring bank was able to maintain all of the treasury management services. The bank wanted to keep a strong relationship with the client and looked to take over the facility within the coming year. Republic provided a creative and scalable structure to achieve the customer-centric approach of the bank.
The company provides light industrial staffing solutions for manufacturing companies located in automotive, oil field service and logistics industries providing their diverse customers with maintenance, repair and emergency work services. High growth rates and customers requiring extended payment terms meant that the company quickly outgrew their existing lending facility. To enable the company to continue to take advantage of growth opportunities Republic provided a bridge growth facility.
Republic provided a $4.5 million Receivables Purchase Line of Credit facility without any covenants or cash flow requirements. Republic’s initial funding was able to provide the company with the ability to fully repay the bank facility and have over $1 million in additional working capital. In a short few months since commencing their facility with Republic, the company is on pace to double their revenue in the second half of the year compared to the previous year. Their CEO attributes it to Republic, “As a result of our increased confidence meet our growing payroll demands, we are able to take care of our employees while growing our business.”
“Temporary Staffing companies are the lifeblood of the small businesses located throughout America. Republic is proud to support minority-owned and female-owned entrepreneurs,” said Stewart Chesters, CEO of Republic. “We have several customers that support the supply chains of the automotive, energy and transportation industries.” According to the Small Business Administration of the U.S. government, small businesses make up 99.7% of the US employer firms. Republic designed its team and products to support smaller and medium-sized companies.
Posted on August 15, 2019
New Orleans, LA – When a rapidly growing small business was declined by the Export-Import Bank of the United States, they leveraged Republic Business Credit’s export expertise to fund their cash flow. Republic was founded by Stewart Chesters, who emigrated from the United Kingdom in 2001. Republic funded the export receivables to the United Kingdom despite the ongoing uncertainty caused by the latest developments of Brexit. Republic will always aid entrepreneurs that form and create the world’s supply chains that current face challenges from Brexit and a changing tariff landscape.
The company was founded in 2018 by four advertising executives who previously worked for large multinational firms and saw a service gap being offered by larger marketing agencies. The company provides customized digital marketing, advertising, print and experiential solutions for its customers throughout the US and Europe. The company assumed with their backgrounds they would simply get a line of credit from their bank, however, they were declined due to the number of years in business and reliance on United Kingdom customers.
Republic provided a $750k Export Factoring Facility along with helping the company obtain a credit insurance policy that guaranteed the collectability of the receivables. The cashflow of the company struggled with the extended terms, which are becoming more normal by publicly traded and advertising communities. Republic provided the stability, support and growth capital needed to build their company while combating Net 90 day payment terms.
“As as a proud Brit, it is very rewarding when you can help support US companies to export back to my homeland,” said Stewart Chesters, Chief Executive Officer and founder of Republic. “We have several customers that either emigrated to the US or choose to expand their business by exporting goods or services to Europe. We partner with founders and entrepreneurs that want to expand their business without being saddled by the fear or uncertainty of customer location.”
Posted on August 15, 2019
New Orleans, LA – When a Texas-based temporary staffing company received two new contracts with large energy production companies, they sought a payroll funding expert to support their growth. Republic Business Credit collaborated with their regional bank to structure a factoring facility that focused on the new customers while enabling the bank to retain both the line of credit and treasury management services. Republic was selected by the bank and company over several other factoring companies because of its ability to move quickly and fund within a week.
The company was formed by European expatriates and oil field service veterans in the late 1990s. The company became a full-time job for the founders upon successfully landing two new customers, only to discover their bank line of credit imposed customer concentration limits. The founders were determined to find a solution that allowed them to retain their banking relationship and partner with a local growth capital facility. The company provides technicians, drivers, and general support staff to midstream energy companies.
Republic provided a $2.0 million Selective Factoring Facility combined with an unbilled advance structure to provide funding against their invoicing prior to formal customer approval. When companies are working in the oil field space, their employees are often miles away from their operation centers that prepare the billing. The time-lag of getting the paperwork processed and billed causes additional cash flow challenges. Republic provided the unbilled account receivable facility to help the company make payroll each week to bridge this time-lag.
“Companies working in the Permian Basin and Eagle Ford shale are challenged by unprecedented supply and demand issues due to the extreme growth in the region,” said Robert Meyers, President of Republic. “We have many customers in the oil field industry, so we are able to understand the rapid growth demands combined with the geographic challenges presented by lacking administrative infrastructure in the area. We partner with many of the downstream, midstream and upstream production firms to support their essential supply chains.”
Republic Business Credit partners with banks, accountants, sponsors, lawyers and investment banks to collaboratively support entrepreneurs across the United States, to create value, by enabling them to focus on growing successful businesses.
Posted on August 15, 2019
Houston, TX – Republic Business Credit partnered with a leading turnaround consulting firm to support a 28-year-old commercial printing company that was being managed by a bank special assets group. Republic agreed to an inter-creditor with the incumbent lender in order to help reduce the pressure of the heavy debt burden and provide growth capital for the company to take on new customers. Republic was brought in by the turnaround consulting firm because of its leading reputation within the Turnaround Management Association and its ability to support corporate renewal efforts.
The printing company needed a partner that understood the complexities of an evolving industry as they worked to balance the conversion from print into digital product offerings. The company suffered a set back after an unsuccessful acquisition erased their cash flow from operations during their transformation. They needed a funding partner that could quickly work with several third parties to implement their growth plan.
Republic provided a $2.5 million Ledgered Line of Credit combined with a $250,000 Purchase Order finance facility to support their immediate refinancing needs while also enabling payments to their key suppliers to purchase new raw materials. The business and consulting firm had confidence that Republic will support its longer-term business needs without unnecessary covenants.
“The printing industry is consolidating and transforming at a rapid pace with the introduction of many digital requirements,” said Robert Meyers, President of Republic and President of the Turnaround Management Association’s Midwest Chapter. “As a commercial finance company, we are well-positioned to partner with companies during their change management and corporate renewal initiatives. We have strong relationships with banks, advisors, and accountants that trust us to provide restorative capital options.”
Republic Business Credit supports banks, investment banks, private equity, accountants, lawyers and consultants across the United States to create value, strengthen relationships and provide value creation services to successful growing businesses.
