$750,000 A/R Facility Secures Growth Path for Charlotte-Based Drilling Start-Up

The Situation

In 2025, a husband-and-wife team based in Charlotte, NC launched a Directional Drilling company specializing in fiber optic directional drilling. While the business itself was newly established, both founders brought extensive industry knowledge and hands-on experience. One of the owners had previously managed factoring submissions for a SouthStar Capital client, giving her a deep understanding of how receivables financing works and how it can support business growth.  

The company began securing contracts and establishing customer relationships right away. However, with the high upfront costs associated with equipment and operations, maintaining steady cash flow was essential. To ensure the business could fulfill contracts without disruption, a working capital solution was needed immediately. 

The Solution

SouthStar Capital delivered a $750,000 Accounts Receivable Financing facility tailored to the company’s specific needs. This solution allowed the business to leverage newly generated receivables for fast access to working capital. Since the company worked quickly with Southstar to notify its debtors and submit customer forms and contracts, the facility was quickly structured and implemented. When they had a need, Funding took only about 5 business days. 

The Result

With the $750,000 A/R facility in place, the company gained the liquidity needed to begin operations smoothly and confidently. The funding ensured they could cover ongoing expenses, meet payroll, and reinvest into their drilling projects without delays.  

Supported by SouthStar’s facility the business established a solid financial foundation, enabling them to focus on growth opportunities in the fiber optic drilling space. The competitive structure and scalable terms of the facility positioned them for long-term success as they expand their footprint in the market.