Home Furnishing Manufacturer

Type of Deal: Import
Deal Size: $4,000,000
Funding Requested: Letter of Credit

KTC was contacted by an old client who imports goods from around the world and ships to Costco, Sams, T.J. Maxx to mention a few. Their business has been growing steadily for years and this year growth has exceeded the company’s capacity with its bank. KTC was able to quickly structure a subordination with the company’s bank with related to the specific orders that needed to be financed. KTC then entered into an inter-creditor agreement with a factor to advance on the receivables once the goods were shipped. Within 10 days, KTC was able to issue two letters of credit securing the delivery of approximately $4 million of purchase orders for Costco and T.J. Maxx.