Chesswood Exits Working Capital Loans, Will Focus on Equipment Finance
SEP 20, 2016 - 7:06 am
Chesswood Group will discontinue operations of Windset Capital, its U.S. working capital loan subsidiary, effective September 26, 2016, in order to focus solely on equipment finance.
“After three years of serving the short-term working capital market and dedicating 100% of Windset’s resources to the broker/ISO community, we have made the strategic decision to exit the working capital loan market and focus solely on our growing equipment finance businesses,” said Barry Shafran, Chesswood’s president and CEO.
The company will continue to service all of the loans in its portfolio for the entire duration of their terms and this decisions is not expected that any material losses or costs will result from these steps.
“We have made the decision to focus our organization on our growing and more profitable business activities in the equipment finance market,” said Gary Souverein, Windset and Pawnee Leasing’s president. “While we have continued to manage Windset profitably, our longer term outlook on the changing fundamentals of the working capital loan market have made us uncomfortable with the risk-return profile. We appreciate the many relationships we have made since 2013 and we will continue to fund all of our partners’ approved applications.”
Chesswood operates in the financial services industry, with equipment finance businesses in both Canada and the U.S. Its subsidiaries include Pawnee Leasing and Blue Chip Leasing.
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