A medical equipment distribution company has been in business for 2 years. From 2006 to 2007, the company's revenue grew by over 900 percent. Low sales in the first year of the business prevented the company from getting a line of credit from a traditional bank. Therefore, the owner is forced to finance business expansion with high cost loans from vendors.
The business owner wanted an inexpensive source of funding to replace the high cost vendor financing.
Based on the estimated value of the accounts receivable, Biz2Credit suggested using a line of credit against the business's accounts receivables. The company was suggested to leverage 85 percent of receivables to service new accounts and manage increased billings from existing clients with cheaper funding.
Medical Equipment Distributor received $150,000 at prime plus 2 in 15 days
"Biz2Credit was the biggest, biggest part of my success here. Biz2Credit came in like a lifesaver," she said
"I'd give Biz2Credit a 15 out of 10. Joe, my funding specialist, does a great job. He's always on point and really understands my business. Every time I've worked with him he's come through for me in a big way
"The turnaround time for funding was quick with Biz2Credit," Raza told us. "As soon as they got our information we had a decision - there was no waiting period like I experienced with other lenders."
Raza and David Bolos