United Capital Funding Provides $2.5 Million Post-petition Debtor-In-Possession Financing

CHICAGO (January 19, 2023) - United Capital Funding Group LLC, a Florida-based factoring firm with offices in Chicago recently provided a $2.5 million Debtor-In-Possession (DIP) facility to a California-based sports equipment wholesaler. With this new flexible form of financing, the wholesaler could work through its post-petition plan of reorganization and maintain its long-standing relationship with its major retail customer.

The wholesaler recently filed bankruptcy due to supply chain issues from an overseas shipment not arriving as scheduled. This supply disruption caused a delay in product output during their primary selling season and resulted in a substantial decrease in revenue which forced the California-based company into Chapter 11 bankruptcy. United Capital Funding reviewed the company’s current performance and steady record of service under its sole contract with a major retail store to determine a credit facility of $2.5 million was warranted. With this new facility established under the court’s approval, United Capital Funding purchased the wholesaler’s current accounts receivables, reviving liquidity that would work to support the company’s future purchase orders.

“Our goal from the beginning was to find a sustainable solution for this company,” said Nancy Kalman, Senior Business Development Officer at United Capital Funding. “We’re now positioned to grow as an integral part of the company’s life cycle as they work their way out of bankruptcy.”

After successfully onboarding this client, the wholesaler is working its way towards its pre-petitioned business volume with its valuable sole customer still in place. For more information about United Capital Funding and its invoice financing services, please visit www.ucfunding.com or call our office at (877) 894-8232.

About United Capital Funding Group, LLC

United Capital Funding Group, LLC. (UCF) is one of the nation’s leading providers of working capital finance by successfully leveraging collateral due from major retailers, top-tier government agencies, and Fortune 500 companies.

Since its founding in 1997, UCF has helped over 1,000 small businesses succeed by providing a very efficient accounts receivable management service and supporting its customers with a reliable source of funding for both business and government receivables managed.

UCF is headquartered in the Tampa Bay area with additional offices in Nashville, Tenn., Chicago, Ill., Los Angeles, Calif., Charleston, S.C., and Columbus, Ohio. UCF is a subsidiary of Gulf Coast Bank & Trust Company, an FDIC-insured commercial bank. For more information, please visit our website at www.ucfunding.com.

Contact

Alina Hall, Communications Specialist
(877) 894-8232
alinahall@ucfunding.com