1st Commercial Credit has contracted seasoned bankruptcy attorneys to expedite DIP Financing request with an average funding time frame under 2 weeks.

Raul Esqueda, President of 1st Commercial Credit says, "I am seeing many companies struggling with overwhelming debt and now with the latest economic downturn has put them in what I refer to as the 'Forever Red Zone'. Many businesses that were growing last year turned to multiple Cash Advance Lenders and are not able to sustain the daily debits now. The current market has decreased revenues and some account debtors are paying slower. This negative cash flow situation is devastating for a business and causes late payments on 941 tax obligations, non-payment to vital suppliers and follows a continuous dive until an inevitable closure occurs."

The only thing that can save the business is filing Chapter 11, where it allows the business to reorganize,  restructure the debt, and cancel or negotiate new contracts with vendors. The most important thing is that business owners accept the fact the business is not going to survive with the current trajectory. Business owners need to react quickly, and request the prepetition filing for Chapter 11 while the company is still operational and in good standing with employees and customers.

If the business owner waits to file Chapter 11 after the vendors have cut off supplies, customers are no longer getting services and employees are not getting paid, its too late!

Chapter 11 has been an unattractive option for businesses because of the time, excessive cost in attorney fees and lead arrangers, along with multiple investment banks trying to assess the valuations of the assets. While all this is happening, the business is going underwater and all parties involved are operating with no urgency. The reality is secured lenders bicker about unrealistic rollups, attorney clauses that nobody will accept and everyone is trying to justify their fee.

1st Commercial Credit has a team of attorneys and underwriters that can expedite receivable valuations and documents quickly and enter into a DIP Factoring engagement/term sheet with qualified business owners that have $500,000 in accounts receivable performing under 90 days outstanding.

Once the client accepts the invoice factoring rates and conditions of the funding, a $5,000 due diligence/attorney fee will be required to represent the 1st Commercial Credit Funding group. Non-Eligible Industries for this program include all oil service industries, medical payable by insurance and construction contractors. Available for USA based clients only.