TradeCap Partners Assists Consumer Packaged Goods Company’s Expansion with $1.75mm Purchase Order Finance Facility

TradeCap Partners closed a $1.75mm purchase order finance facility for a growing, better for you, consumer packaged goods company to support their expansion with Costco.

After a successful regional launch, Costco issued orders for additional doors in new regions. The Company was in the midst of due diligence with an ABL lender but order delivery dates required an immediate bridge to get goods produced and shipped before the ABL could close.

The ABL lender introduced TradeCap to solve the interim working capital needs. TradeCap structured and closed a PO Finance solution in a matter of days, making payments to the co-packer, packaging and fulfillment suppliers in order to ramp production and meet delivery dates for the expansion. Additionally, TradeCap’s solution provided the bridge needed allowing the company to close its ABL facility without having to forgo or delay the incremental sales. With both the ABL and TradeCap’s respective facilities in place, the company has a permanent working capital facility and a PO Facility to accommodate future expansion and growth.

“We were happy to serve as a trusted partner to the ABL and ensure their client’s funding needs were met in the interim”, remarked Clinton Stanton, TradeCap’s Managing Partner. “This transaction was a great example of how our bridge PO Finance solutions can be used as a resource by ABL’s and other lenders to win business and extend their timeline to close for new clients.”