Allied Affiliated Funding is pleased to announce the details of another “Funding By Allied”, further strengthening Allied’s presence in the Texas market where they are headquartered, although they provuide factoring services nationwide:

Date Funded: 11/18/10

Facility Amount: $ 3,500,000

The Company: This company is a Texas based telecommunications construction and engineering firm. They provide equipment installation, engineering, structured cabling, staffing and networking services for companies such as Verizon (i.e. cable lines for FIOS).

The Issue: This company was a previous client of Allied who obtained a bank line of credit in mid-2009. Since that time, internal management changes materially affected the paperwork and billing practices within the business, ultimately causing a significant portion of their receivables to age over 90 days. These aging amounts adversely affected the companys borrowing base with their bank due to cross aging, and consequently, the bank requested that the company seek alternative financing. In addition, the company has not received payments on these old invoices which has put an additional cash strain on the business.

The Solution: In the 2nd quarter of this year, the company brought in a turnaround management company, and they have been working diligently to clean up the aging receivables and/or work on a settlement agreement for those old amounts that remain unpaid. Allied was brought back into the transaction to provide funding on the current invoices with a partial pay down to the bank line of credit. The company was able to structure a long term pay out on the remaining balance owed to the bank over the course of a year.

The Win: This “Funding by Allied” will enable the company to meet their ongoing working capital needs, and it will also allow them to continue focusing their efforts on turning around the business.
For more information on our innovative factoring solutions, please visit our Web site at www.FundingByAllied.com.

Remember, when you see a business prospect positioned for growth, but one that lacks sufficient funding to realize their full potential, our services may be their funding solution. Let Allied Affiliated Funding transform your options and theirs by giving your prospects and customers the wings to fly.

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