Keeping energy flowing when the stakes are high

Keeping energy flowing when the stakes are high

Client:
Performance Energy Services, LLC is a Colorado-based energy service construction company contractor delivering safe, client-focused support to the onshore and offshore energy markets. As a trusted partner to oil and gas companies around the world, they provide fabrication, industrial construction, instrumentation & electrical, mechanical, and specialty services.

Situation:
The company had hired 120 new employees and was scaling up for stellar growth, from $60 million to $100 million per year. COVID shutdowns brought the industry to a halt, and revenue was reduced to $20 million. To the CEO’s credit, he kept all employees on board and suffered a few years of hard losses which made him conventionally unfinanceable. Their bank was unwilling to extend any additional credit and was trying to wind down their line. But the nFusion team believed in the company and its leadership’s ability to execute a turnaround. We worked around the clock to develop a lending structure that would enable them to move forward, and did some amazing and innovative things at the 11th hour to get payroll done for 200+ employees before the weekend.

Solution:
A $4 million Asset Based Lending line of credit

“Our former bank line of credit didn’t provide sufficient working capital for our company to operate and grow. nFusion’s team was able to think outside the box and moved quickly to craft a financing solution that worked well for us, using additional assets to serve as collateral for a larger line of credit. They met hard deadlines in a compressed time frame that was extremely challenging. They came through, delivering on what was promised and made it happen. They showed trust and faith in us that we would do what we said, and we are very grateful.” Joe Hettinger, Founder

Result:
The funding prevented Performance Energy from having their legs cut out from under them just as they were turning a corner into a new phase of expansion. Our funding enabled them to continue operations, meet the immediate payroll, and continue to invest in their expansion.

“We had faith in Performance Energy Services’ leadership team and knew they just needed a sufficient cash runway to execute a business turnaround and return the company to stability. Our funding and patient capital approach will provide the breathing room for them to execute their plan. It was truly a team effort by nFusion.  We moved quickly through our due diligence and underwriting processes given their urgent need for liquidity and creatively structured a transaction to increase their borrowing availability to help ensure their success,” said nFusion’s Jesse Baer.

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