eCapital Corp. (“eCapital”), a leading tech-enabled finance provider across North America and the UK, today announced the recent closure of a $21 million working capital line of credit to a Southern California automotive company (“the company”).

Operating profitably in a competitive industry for over a decade, the company previously met its specialized funding needs via private investors. 

As lenders, borrowers and their advisors are well aware, the enactment of what is informally referred to as the Tax Cuts and Jobs Act (the “TCJA”) introduced fundamental changes to U.S. tax law that immediately impacted the structuring, terms and implications of financing arrangements. Although the TCJA’s initial effects were significant, the prospect of future material changes also existed in the form of implementing guidance. True to that promise, recently finalized regulations (the “Regulations”) promulgated under Section 956 may have the most dramatic effect yet on financing arrangements involving multinational companies.