Financing Powers Cybersecurity Firm’s Successful Military Base Upgrade

The Situation
A cybersecurity integration company secured a $260k DFAS contract for a security camera upgrade at a Military Base. The project required sourcing components from multiple vendors and integrating them with the existing system, presenting a complex challenge. While the company had the necessary skills and experience, a significant roadblock emerged when a new vendor refused to extend credit, leaving the company with a $130,000 upfront cost despite having favorable payment terms with other vendors.
The Solution
SouthStar Capital stepped in with their Government Contract Financing program, paying the vendor and covering the total cost of the cameras and shipping. Upon delivery and invoicing, SouthStar Capital factored the work-completed invoice for the components, paid off the purchase order financing, and provided additional funds for the client to pay other component vendors within their terms.
The Result
The client needed to submit a final invoice as the contract neared completion. With the support of SouthStar Capital’s factoring facility, they could pay their subcontractor within a week of project completion, alleviating the financial burden for all parties involved. The financing solutions provided by SouthStar Capital enabled the cybersecurity integration company to navigate and complete the complex project successfully.