[FIRST US]

Any A paper guys doing these? I know of Snap so far

[FUND3R1]

Lendr.. I think.

[Finance Guru]

We can help you with that.

[Kevin Henry-Seacoast]

Most traditional banks have been avoiding this industry. I said this months ago. Alternative lenders with a head on their shoulders should be pounding the street looking for companies in the industry that are being turned off by their banks. We are not lending or factoring the industry either. I saw a manufacturer about 9 months ago. $80Mil company that throws off $5Mil in cash. They were getting kicked out by their bank. The owner told me.....I need a $8Mil facility (AR & Inventory) and I will sign anything under 12%.

There is a lot of wood to chop in this industry for someone that is willing to do a little work!

[moneypenny1]

BFS did one last week 150k funded ...

[mrmrg]

Most traditional banks have been avoiding this industry. I said this months ago. Alternative lenders with a head on their shoulders should be pounding the street looking for companies in the industry that are being turned off by their banks. We are not lending or factoring the industry either. I saw a manufacturer about 9 months ago. $80Mil company that throws off $5Mil in cash. They were getting kicked out by their bank. The owner told me.....I need a $8Mil facility (AR & Inventory) and I will sign anything under 12%.

There is a lot of wood to chop in this industry for someone that is willing to do a little work!

I just closed a 7(a) last week for a gun shop/shooting range.

[Get It Done]

arms market is probably exploding as we speak

[Yankeeman07]

Credit Card / Lock Box Split & Term Loans Available.

[mcaguru]

Mantis will always take a Shot (non pun intended) at this space!

[FIRST US]

Thanks for the input guys. Kevin, the only thing I would say to your point is that the A paper guys biggest concern with this type of industry is fear of legislation.

[Kevin Henry-Seacoast]

Thanks for the input guys. Kevin, the only thing I would say to your point is that the A paper guys biggest concern with this type of industry is fear of legislation.

Legislation is not the issue if you finance the companies correctly and in a strict formula. The reason a lot of traditional banks are looking for the exit is the Remington CH11 filing and headline risk. There are ways to avoid the headline risk, but most banks are just staying away from the industry.

[mcaguru]

Legislation is not the issue if you finance the companies correctly and in a strict formula. The reason a lot of traditional banks are looking for the exit is the Remington CH11 filing and headline risk. There are ways to avoid the headline risk, but most banks are just staying away from the industry.

Lets not forget Remington Restructured in under 40 business days. (Unheard of speedwise... Investors were excited to turn debt into equity which screams that Industry is sound).

[Kevin Henry-Seacoast]

Um...the equity has been in that deal for ions. I know them very well. The challenge is exiting the equity position. There are no strategic buyers because of the size and private equity avoids the industry. It's a hotel California deal. You can check-in, but you can never leave. Wells was on the hook for a big number and jettisoned the industry because of the filing and the headlines. They were the largest lender to the industry. The equity will be in the deal for a long time.....they are kinda used to it by now.

The industry does well so long as the headlines benefit sales. The largest challenge right now is lack of working capital liquidity in a demanding market. Some manufacturers are sold out of inventory for certain products. This has not occurred since Sept of 2016. The other challenge is credit risk. Large end customers have left some aspects of the business. The buyers of product are mom and pop shops and some large distributors.

[mcaguru]

Whitebox Advisors will come out of this with a big win!

[Kevin Henry-Seacoast]

If they get paid back..... Originally it was wells as the ABL and term. BofA led the last syndicate.
The equity is still the same player.

[DTFdowntofund]

arms market is probably exploding as we speak

I was just about to say this.

[A+Paper]

I hate them. They never perform. If they have an onsite range, it's a little better.

[Jason Sterling]

We fund Gun shops and Ranges but has to be credit card split deal