Plastics Manufacturing Company

This 30-year old company had record profits in 2007, but suffered losses in 2008 and 2009 due to the downturn in the economy.  With a loan on the building and all the company's equipment, their bank wanted to reduce its exposure on the $500,000 Line of Credit.  As sales started to pick back up in early 2010, the company was seeking an increase in availability.

Their Commercial Lender referred the company to Magnolia Financial.  With a turnaround plan in place, Magnolia provided the company with a $1,250,000 Accounts Receivable Line of Credit.  The additional working capital has allowed the company to pay down Supplier Accounts and take advantage of new orders being placed by customers.  The company has shown a profit for each month in 2010 and projects a 20% revenue increase from the previous year.  All of this would not have been possible without the access to additional working capital provided by the Magnolia Financial Cash Flow Program.

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