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Diamond Business Credit Funds Communications Training Firm

October 20, 2017, 08:00 AM
Filed Under: Education


Diamond Business Credit announced the recent funding of a $150,000 line of credit to a company that provides corporate communications training.

Some time ago, the company was in a pinch and took out a cash-flow loan. As is typical with these Merchant Cash Advance products, repayment requires a daily or weekly debit to the company’s bank account. Despite having significant profit margins and a healthy backlog, the resulting cash flow squeeze was strangling the company. The company could no longer meet its current obligations and certainly could not execute on its backlog. The company turned to Diamond for help.

Diamond provided a modest over-advance facility to replace the MCA debt, at a much lower interest rate and with an affordable amortization less than half the current debt service, and then added an accounts receivable revolver to cover the company’s ongoing working capital needs. As the company adds new business and invoices its customers for services rendered, the revolving credit line will grow to accommodate the company’s needs - a perfect solution given the company’s current circumstances. And, when the company is ready for bank financing, the process is just as simple. No minimums. No long term contracts. No termination penalties.







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