Bibby Financial Services (BFS) announced today it is providing a $7.25 million asset based revolving credit facility to a U.S.-based metal and aircraft engine processor and recycler. Composed of a line of credit, an equipment loan and a term loan against real estate, the ABL facility has already resulted in debt reduction by enabling the client to pay off an existing line of credit and term loans from its former bank.
The company purchases scrap engines and breaks them down to individual metal components, including precious metals, to be used in the manufacturing of other products. Its large smelting furnace requires regular maintenance, which is costly, so it was critical that BFS was able to structure the asset based revolving credit facility with flexibility to accommodate the expense.
In addition to debt reduction, the increased working capital will facilitate the purchase of additional scrap materials for processing and additional support of operations.
“Our client relationships are the most important we have, so we put great focus on understanding the client’s business and industry in the early stages,” said Ian Watson, CEO of Bibby Financial Services North America. “This company does business overseas as well as domestically, so another advantage we offered was credit insurance to secure against international debtor issues. As trusted advisors to our clients, we feel it’s our responsibility to ensure that we help them cover all the issues that can pose a challenge to their business.”
Bibby Financial Services supports small to medium-sized businesses in nearly every industry with flexible, tailored financing and other benefits that improve profitability and strengthen their clients’ positions in the marketplace.
About Bibby Financial Services
Bibby Financial Services is a leading independent financial services partner to more than 10,250 businesses worldwide providing more than $1.25 billion in funding annually and handling $11.6 billion in annual client turnover globally. With over 44 operations in 13 countries spanning Europe, North America and Asia, we provide asset based lending and factoring solutions to help businesses grow in domestic and international markets. Established in 2001, Bibby Financial Services North America has seven offices in the U.S. and Canada that support businesses in virtually any industry. We hold memberships in the Commercial Finance Association, the International Factoring Association, and the American Finance Association. Bibby Financial Services is part of Bibby Line Group (BLG), a diverse and forward-looking family business with over 200 years’ experience of providing personal, responsive and flexible customer solutions. To find out more about Bibby USA and Bibby Canada, please visit www.bibbyusa.com or www.bibbycanada.ca.