Facility helps California-based fabric manufacturer safely build its business
LOS ANGELES, Feb. 21, 2024 /PRNewswire-PRWeb/ -- When a California-based fabric manufacturer sought a factoring partner that could fully approve its customers, they believed that Republic Business Credit would help safely grow their business.
The company, established in 2020, is the most recent endeavor launched by another one of Republic's long-term clients in the apparel industry. In fact, Republic had previously provided a factoring facility to the brands' parent company, which gave its leaders confidence that this would be another trustworthy partnership.
The company did not require a factoring partner throughout the pandemic because of its strong customer relationships and growing e-commerce platform. However, as the current retail environment continues to shift due to inflation, higher costs and inconsistent consumer demand, the company wanted the comfort and safety that comes with shipping to credit approved retailers. It was especially important to get approval on some of its larger retailers, such as Burlington Coat Factory & Ross Stores that have been integral to the company's proven success.
"It has given us confidence to continue growing and expanding our business, knowing that we will be able to collect our wholesale receivables from large retailers," said the company's founder. "Republic's understanding of the apparel industry, combined with its responsive client management team have made this an incredibly effective partnership."
Republic provided a non-borrowing traditional factoring facility to help reduce the company's payment risk. Republic gave the company comfort that its shipments would be paid for in full, so the company could focus on growing its new brand.
"I have been working with companies in the apparel space for years," said Republic SVP, Business Development for the California office, Tae Chung, who managed the deal. "Companies often need the flexibility of a factoring facility and reduced credit risk to stay competitive in the market. We are proud to support the company in this new partnership and look forward to helping them further advance."
Republic was able to approve 100% of the company's customers and serve as a trusted advisor through a challenging time in the market.
"We are always excited when our existing, successful relationships with clients lead us to new opportunities to work with businesses seeking similar solutions," said Republic's COO, Matthew Begley. "We are confident that our facility will help this company reach its goals and continue to be a dynamic and competitive player in the apparel space."
Traditional Factoring is often used by businesses in specific industries, such as apparel companies, to reduce payment risk. Republic has long-term partnerships with many industry leaders across the country to provide that security and help their businesses to succeed.
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, start-ups and companies experiencing recoverable distress. Republic is recognized by the Secured Finance Network as one of the largest finance companies in the United States of America. 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.
Media Contact
Emma Amorose, Respublica, 412.807.9236, [email protected], republicbc.com
SOURCE Republic Business Credit
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