Printing (2)

printingheader

$1,000,000

Line of Credit secured by AR and Inventory

Commercial Printer

Little Rock, Arkansas

Founded in 1971, the company is a second generation commercial printer specializing in advertising materials. For years, the company serviced the Midsouth and Midwest markets and weathered several cycles along the way including the downturn in its own industry.  Two years ago, the company lost a major customer and then a second a year ago. After finding that the competition could not deliver, the company has won back one of the accounts and is confident the other will return. In the meantime, the loss of revenue had a negative impact on their financials and their bank became uncomfortable with the relationship.  Ultimately, their line was paid off and canceled.  Facing large orders coming in from the business they won back, the owner reached out to his private banker for help. The local banker tried to get a commercial line approved, but the recent losses sustained by the company made that option unavailable. As such, the banker introduced Southeastern and we were able to refinance their line of credit just in time for them to process their growing backlog. The line also provides room for additional growth anticipated in the coming months. Because he helped this client with a solution, the referring banker won the company’s depository relationship including treasury management services all of which were at the exiting bank. He will keep an eye on the company’s progress with the intent of graduating the line into the bank after the company recovers financially. The result was a win for all parties involved.