Tank Truck Hauler Is With Celtic Capital for the Long (or Short) Haul
This is a California-based tank truck hauler of gasoline, diesel, oil and other related products.
The Company was looking to exit a factoring relationship and some high-priced merchant cash advance (MCA) loans. An intermediary assisting the Company contacted Celtic Capital to see if it would be a fit for us. Drowning in MCA payments, but with a lot of business and high growth potential, the Company was cash-strapped. An additional challenge was that the Company had a very inexperienced in-house accounting person. Communication issues and basic terminology misunderstandings were actually harming the business.
Working with the Company’s CPA (who was brought in to get the accounting issues squared away), Celtic Capital provided a $500,000 Accounts Receivable Line of Credit and a $240,000 Equipment Loan to pay off the various lenders and provide working capital to grow the business.
With sales expected to ramp up, the owner and his brother will drive trucks for awhile to boost revenue. They are very pleased to be out from under their MCA loans and ready for the business growth that is already underway.
About Celtic Capital
Companies looking for working capital to cover operating expenses, fund growth, increase buying power and take advantage of vendor discounts and rebates turn to Celtic Capital. With an appetite for the more complex transactions, Celtic Capital has a history of success in crafting creative, flexible asset based financing solutions from $500,000 to $5 million with no financial covenants.
As an independent lender, working with companies nationwide, Celtic Capital is willing and able to alter price and deal structure and expand lines of credit to handle its clients’ increased revenues; and when cash flow is an issue, will look toward providing an inventory facility to help offset lost cash flow.