$3 Million Asset Based Facility Helps Company Expand
Kort Industries is a Texas-based steel fabricator and industrial fabrication specialist providing steel structures to environmental and oil & gas companies in the state. They offer Fabrication Maintenance Services, Pressure Vessels, High Pressure Piping, Tank Repair and Industrial Coating; and turnkey fabrication solutions to help increase productivity and operating efficiency while reducing downtime and cost.
The company was working with a factor who did not deliver on their promises, made funding harder and was holding back more availability. As a result, they had to pass on jobs that would have been very lucrative. They needed additional cash flow to take on new growth opportunities and meet payroll and sought to move to an asset based facility at a bank. However, the bank had to decline the deal just days before the first funding and referred Kort to Rachel Samuelson at nFusion, demonstrating their confidence in our team.
A $3 million asset based line of credit
“Our past experience with the credit facility process has proven frustrating and cumbersome,” said Greg Kimbrough, Kort Industries COO. “Then we were introduced to nFusion Capital-what a difference! Rachel Samuelson and her team are the epitome of efficiency and professionalism; they made the whole process very pleasant and simple. They took great care and time understanding our business to develop a credit facility tailored specifically to our needs, with a very smooth due diligence and set up process. It has now been several weeks since we have closed and nFusion has lived up to every promise. Rachel, Tony, Marg, and the rest of the team are definitely pro-business and pro-solution. They are a huge asset for Kort Industries and will help us achieve our strategic objectives.”
Since the facility closed, Kort now knows in advance how much funding is available which gave them the confidence to bid on more jobs. It has changed how they operate – they’re not worried about cash flow, they’re not stressed about payroll, and they have more freedom to focus on their core business.
“This was not an easy transaction, but we stuck with our client until the end and got it done, waiting on issues that were beyond our control,” said nFusion’s Rachel Samuelson. “Due to unforeseen circumstances with a subordinate lender, the transaction got pushed to the 11th hour and nFusion had to work double-time to help them meet their payroll obligations right away.”