Industry: Transport – Road Freight
Business Stage: Re-capitalisation
- A transport business with a long track record, needed to restructure its finances to facilitate the retirement of one of the business partners
- The business needed to raise working capital so that existing financial arrangements could be unbundled and the partnership could be bought out
- No bank could be found to fund the recapitalisation without the provision of additional security until a track record was established under the new proposed management structure
Hermes established a Capital Maximiser Facility comprising a Factoring Facility of $550,000 advanced against the debtors, and a Term Loan for $450,000 advanced against the business assets and commercial property.
The shareholdings were restructured with a capital solution that provided for the on-going growth of the business.