A metals manufacturing and processing company required $10 million in financing to acquire advanced equipment for manufacturing, heat treating, and cold rolled steel processing. The project involved significant upfront deposits and milestone payments tied to a long production and delivery timeline.
Commercial Funding Partners structured a solution that enabled the company to manage cash flow effectively while securing the equipment needed for growth.
The transaction required careful coordination of cash flow over an extended equipment build and delivery cycle.
The company needed to make substantial deposits and milestone payments throughout the manufacturing process, creating pressure on working capital. While the business was considered A-paper, traditional bank options lacked the flexibility to support the timing and structure required.
Key challenges included:
Commercial Funding Partners structured a financing solution tailored to the timing and complexity of the equipment acquisition.
We secured $10,000,000 in financing, enabling the company to fund deposits and milestone payments as required throughout the production cycle.
With financing in place, the company successfully navigated the production cycle and secured the equipment needed to expand operations.
Results included:
Timing and structure are critical in large equipment acquisitions.
Even strong borrowers can face challenges when dealing with long production cycles and milestone-based payments. This deal highlights how flexible financing can bridge the gap and keep growth projects moving forward.
