Results 1 to 7 of 7
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01-18-2023, 01:31 PM #1
- Join Date
- Oct 2012
- Posts
- 142
A trickey Situatioin
Well, here is a catch -22 situation. I have ice cream manufacturer that a number of months received approximately (80) Purchase Orders to supply their product in 850 Walmart stores. Back then they were dealing with a small co-packer that could not meet the time frame of the deliveries.
Hence, the Purchase Orders were cancelled. Walmart has come back to them with an order for their 1400 stores with the products they want to purchase. The problem is two-fold. First, although they given them the order, totally approximately $1.2M, they cannot issue the purchase order until the client can produce the product.
Now,the catch-22. They need approximately $400,000 to produce the product so the purchase orders can be issued. This is not a Purchase Order Finance deal, as the Purchase Orders have not been issued. However, when the Purchase Orders are released then the financing can resort to a restructure of the financing. The company has decent Tax return, although the current years have been problematic. Essentially,what they are looking for is someone that can take a look at the potential that this company can offer, and not so much on financials.
The ice cream is a specialty that has patent. A full Pitch Deck is Available.
Pleas respond to my email address at president@fundingsourcesforbusiness.com
Howie Dane
President
Funding Sources for Business
(847) 831-4118Howie Dane
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01-18-2023, 10:03 PM #2
Sounds tricky and risky.
Maybe if there's a way to secure the patent as collateral.Uptown Iso Department
________________________________________
Office | 732.994.2550
iso@uptownfund.com | uptownfund.com
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01-19-2023, 11:03 AM #3Nick Hubbard
Senior Loan Advisor
314-252-0299 - Office
314-885-2262 - Direct
nick@elitefactoring.com
www.elitefactoring.com
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01-19-2023, 12:35 PM #4
- Join Date
- Mar 2015
- Location
- Rock Ridge
- Posts
- 3,461
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01-19-2023, 07:13 PM #5
- Join Date
- Jan 2014
- Posts
- 1,361
factor them...they probably have AR.. They are manufacturer so probably use heavy machinery for an equipment financing play.
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01-19-2023, 08:16 PM #6
- Join Date
- Sep 2022
- Location
- Lakewood, NJ
- Posts
- 51
Like a letter of credit?
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01-23-2023, 09:20 AM #7
- Join Date
- Aug 2021
- Posts
- 69
Howie,
Give me a call. We are able to be creative with our funding and might be able to help the client in this situation very quickly. 815-878-0244