Republic Business Credit Accelerates the Growth of Natural Beauty Brand with a $2.5MM Factoring Facility
NEW ORLEANS – When a growing, women-owned natural beauty and cosmetics manufacturer wanted to accelerate its growth, it partnered with Republic Business Credit to reach its strategic goals. Republic provided a $2,500,000 factoring facility that refinanced its incumbent lender’s loan while providing more than $1,000,000 in additional liquidity from the manufacturer’s working capital.
The founder expressed her satisfaction, stating, “Since our inception in 2003, our business has experienced consistent growth, we sought a lender with a deep understanding and appreciation of our story to help us capitalize on that growth.” She added, “Republic provided an innovative and unique approach to financing, addressing our short-term growth needs while charting the path forward for a successful long-term partnership.”
The company provides sustainable, organic and natural creams, moisturizers and lotions that are good for consumers and the environment. The company secured deals with two large retailers following Expo West and needed to accelerate its cashflow on the Net 60 and Net 90-day terms.
Republic structured an AR facility with an 87.5% advance rate on its accounts receivables without any restrictive concentrations or extended term limitations. Republic recognized the manufacturer's expanding e-commerce division and the potential to add future inventory financing to support its seasonal importing demands.
“This transaction exemplifies a collaborative effort to set a client up for success,” said Leigh Guglielmo, SVP Business Development Officer at Republic. “By working closely with the incumbent lender and the client, our talented team delivered a comprehensive solution that maximized funding while providing a significant future runway for growth.”
“We understand the importance of providing diverse financing options to founders,” said Robert Meyers, President of Republic. “Our mission is to serve as a true growth partner, empowering our clients to achieve their strategic goals. We are excited to be part of this client’s story and look forward to supporting its continued success.”
About Republic Business Credit
Republic Business Credit is a nationally recognized commercial finance company supporting the working capital requirements of companies nationwide, including private equity backed and entrepreneurial businesses. Republic provides Asset Based Lending including support for e-commerce, ledgered lines of credit, factoring and Fast AR Funding facilities. Republic partners with its clients to provide up to $15 million in senior credit facilities to rapidly growing businesses, start-ups and companies experiencing recoverable distress. Republic is recognized by the Secured Finance Network as one of the largest finance companies in the United States of America. Republic is proud to be headquartered in New Orleans with additional offices in Chicago, Los Angeles, Houston and Atlanta. Republic is a wholly owned subsidiary of Renasant Bank.