Versant Funding funded a $4.8 million non-recourse factoring transaction for a commercial bakery that serves major grocery chains.
The client is a closely held business that has the opportunity to expand by selling its products to additional supermarkets; however, many of these potential new customers may pay their invoices slowly, negatively impacting the cash flow of the business. This is a problem Versant’s factoring offering can solve by advancing cash against invoices.
“Versant’s non-recourse factoring program is a great fit for this growing business, which needs cash in order to expand,” Chris Lehnes, business development officer for Versant Funding, said. “Because our approach to factoring focuses solely on the quality of accounts receivable, for a business like this with a very strong customer base, we are able to provide an elastic credit facility which can grow as the A/R levels of the business increase.”
