$500,000 A/R Facility Supports Growth for Mining Supply Company

The Situation:

A newly established mining supply company secured its first major order to provide tungsten carbide mining bits to a leading U.S. mining company. After funding the initial supplier deposit, the business needed additional working capital to complete the order and manage the customer’s Net 45 payment terms.

The Solution:

SouthStar Capital provided a $500,000 Accounts Receivable Financing Facility, allowing the company to access working capital after delivering its products and invoicing the customer.

The Result:

With the facility in place, the company can bridge the gap between delivery and customer payment, maintain steady cash flow, and pursue additional orders as it expands within the mining industry.