CASE STUDY: Industrial Energy Services
THE DEAL
SIZE: $2 Million
LOCATION: Alberta
SECTOR: Industrial Energy Services
LOAN TYPE: Factoring Facility
THE REAL WIN FOR DWA.
Enabled our client to remain financially solvent through the refinancing of an existing lender while providing additional flexibility to capitalize on a robust project pipeline. That said, we will not rest until this client obtains the lowest cost of capital possible.
THE CHALLENGES.
Recently challenged financial results with CRA balances outstanding
Project based revenue stream leading to challenges with forecasting and managing working capital
Exposure to cyclical end user markets
RISK MITIGANTS.
Robust revenue pipeline of both major products and smaller work orders
High quality client base minimized counterparty risk
Highly motivated and aligned management team injected additional capital
OUTCOME.
Creative factoring solution permitting the full payout of the company’s operating lender and partial pay downs of a second bank as well as CRA balances outstanding
Flexible solution permitted bidding on larger, more profitable projects
BORROWER TESTIMONIAL.
“We were referred to Diamond Willow who responded immediately, took the time to understand our specific situation, and, once engaged, quickly assembled excellent materials to present to the market. The results were exactly what they promised and the experience with their entire team was better than expected.
We would not hesitate to work with DWA again or refer them to anyone looking for debt capital. “
