Republic supports second generation entrepreneur with an ABL facility
NEW ORLEANS, March 28, 2023 /PRNewswire-PRWeb/ -- When a Gulf Coast-based second-generation food manufacturing company needed more support during seasonal growth periods, the company's commercial banker sought a better partner for a line of credit that would allow the referring banker to maintain treasury management. Republic Business Credit stepped up to provide a $6.5 million asset-based loan with a seasonal uplift.
The food manufacturing company provides food, packaging and distribution services to grocery stores, schools, hospitals and commercial customers located throughout the Gulf region.
"We supply wholesale restaurant equipment and other products to our growing customer base, and their needs can ebb and flow depending on the season," the food manufacturing company president said. "It was important to us to find a confident bank relationship. Republic stepped up and partnered with us in areas where we needed flexibility."
Republic extended a $6.5 million asset-based loan that provided availability on the food distributor's accounts receivables and inventory. The facility provided for a seasonal uplift and significantly more availability during the ramp up and low season period. Not only was Republic able to provide a dynamic Asset Based Loan, but the referred commercial bank was able to retain all of the treasury services and keep the customer.
"We truly enjoy partnering with entrepreneurial businesses that have strong foundational community support and provide an important service," Republic President Robert Meyers said. Republic's SVP, Leigh Guglielmo added "This company provides food and products to a vital industry throughout the Gulf Coast that includes schools in the region, ensuring kids are protected against food insecurity."
Republic's food clients work in the confectionary, snack, condiment, sauce, ingredient, grain, bakery, desserts, cakes, canned, smoked, frozen, and dried industries. Beverage clients include soft drinks, juices, coffee, tea and other instant beverages. In 2022, Republic was a proud sponsor of the Houston Food Bank.
"Republic is proud to support the food manufacturing company today and in the future as acquisition opportunities present themselves and funding needs grow toward $20 million," Meyers added.
"Our unique lending products provide us the ability to truly get to know the businesses with whom we partner, whether they are private equity supported or entrepreneurially owned," Republic CEO Stewart Chesters said. "We're excited to support the growth ambitions of our new and lasting clients."
About Republic Business Credit
Republic Business Credit is a nationally recognized commercial finance company supporting the working capital requirements of companies nationwide, including private equity and entrepreneurial businesses. Republic provides asset-based lending, ledgered lines of credit, traditional factoring, factoring and Fast AR Funding. Republic partners with its clients to provide up to $15 million in senior credit facilities to rapidly growing businesses, startups and companies experiencing recoverable distress. Republic is recognized by the Secured Finance Network as one of the largest finance companies in the United States. Republic is proud to be headquartered in New Orleans with additional offices in Chicago, Los Angeles and Houston. Republic is a wholly owned subsidiary of Renasant Bank.
About Renasant Corporation:
Renasant Corporation is the parent of Renasant Bank, a 119-year-old financial services institution. Renasant has assets of approximately $ 17 billion and operates 198 banking, lending, mortgage, wealth management and insurance offices throughout the Southeast as well as offering factoring and asset-based lending on a nationwide basis.
Media Contact
Emma Amorose, Republic Business Credit, 412.807.9236, [email protected]
SOURCE Republic Business Credit
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