Recent Fundings

This was an old time EGC client that had paid EGC off in 2006 with bank financing.   The former client was given an opportunity to purchase the building adjacent to it if it could close in 30 days.  Although it had a good relationship with its bank, and its financial performance was excellent, there was no way the bank would be able to provide the mortgage within 30 days.  Even though EGC rarely does stand alone real estate deals, because of the long standing relationship, EGC was able to provide the loan, and the client was able to purchase the building at a bargain price.

This distributor of construction related products was referred to EGC by an existing client.  Its long time bank had asked it to leave due to losses incurred in 2009.  Although management had turned the company around, no banks were interested.  The company was solicited by most of the asset based lenders in the Northeast but chose EGC because of its competitive rates, and creative formula for availability.  Indeed, because so much of its inventory was pre-sold, EGC was able to treat most of it as if it were a “bill and hold” receivable, increasing the inventory availability.

This IT staffing business was growing but profits were constrained by paying its factor a high cost for funding.  EGC paid off the factor and was able to increase the advance rate so that the company could further increase its sales.  This company also had a line of credit with a bank so EGC had to enter into an intercreditor agreement that was mutually acceptable.