Crown Partners, a debt advisory firm specializing in senior credit facilities and loan products for U.S. companies, announced the closing of an $8.0 million credit facility consisting of a $5.0 million revolving line of credit, $2.5 million real estate term loan and a $500K CapEx line of credit, for Boston Battery, LLC and its subsidiary companies.
Boston Battery is a Boston based independent, locally-owned wholesale distributor of Interstate Batteries, North America’s market-leading automotive battery brand for over 60 years. Boston Battery serves the southern New England market via its warehouse and retail locations and over 1,000 authorized dealers. The Company also offers a wide variety of non-automotive batteries for power sport, medical and industrial applications.
The facility, which successfully closed on October 22, 2021, provides the Company with the working capital needed to support its continuing rapid growth and the ability to fund future acquisitions. Prior to funding this facility, the company had managed their growth through internal funding sources.
"Daniel Schmitz, CEO of Boston Battery, and his team are premier operators in their market and are focused on providing an elite service experience to their customers. It was a pleasure for Crown to have the opportunity to work with this professional team and provide them with a similar level of service in regard to their financial needs. Crown solicited the interest of several lenders and then worked with Daniel to vet numerous proposals and select a lender that best met not just Boston Battery’s current capital needs but provided a flexible facility to meet the company’s outlook for future growth,” said Evan Nadler, Managing Partner, Crown Partners.
While the new senior debt facility allows the company to expand to the next level of business expansion, it also adds operational complexity due to the enhanced financial and collateral reporting consistent with an asset-based lending facility. In connection with this engagement, Crown advised the Company and assisted in establishing reporting processes necessary to meet these new requirements. Crown also served as an intermediary between Boston Battery and the lender resulting in a solution that met both the company’s existing capabilities and the lender’s requirements.
“Evan and Tony both brought unique skill sets and a ton of experience to the table, and I am very happy with the outcome. It was especially helpful to understand where the market is, what we can push for and what we have to accept. And in addition to the big picture, I was pleasantly surprised how hands-on they were in seeing the process all the way through to closing,” said Daniel Schmitz, CEO, Boston Battery, LLC.