Scaling New Heights in Construction Finance: How Haversine Funding Helped Secure a $5,000,000 Deal

The Situation

In the dynamic world of factoring, seizing new business opportunities often requires innovative and competitive strategies. Faced with the chance to secure a large potential construction client, one factor found itself at a crossroads. To successfully "win" this opportunity, it was critical to offer an aggressive rate and a more flexible structure that deviated from the irtraditional deals. The lender's confidence was based on the client's solid financial history, reliable collateral performance, and a strong, creditworthy end customer base. Recognizing the necessity of a funding partner who not only understood the nuances of the construction industry but was also willing to collaborate on competitive pricing and structure, the lender turned toHaversine for support. Haversine’s reputation for effective partnerships and expertise in navigating complex industries made them the ideal choice.

Financing & Business Issues

Financing Amount:

$5,000,000

Business Issue:

The primary challenge lay in balancing the attractive prospects of the new deal with the inherent risk exposure it brought. The factoring company was constrained by an internal hold limit, necessitating a partner who could share a significant portion of the deal. Haversine's involvement was crucial, not only for offering competitive pricing but also for absorbing a substantial part of the transaction, thus enabling the lender to manage its portfolio risk more effectively.

The Win

Haversine’s strategic participation in this $5,000,000 transaction was instrumental inachieving this balance. By committing to a significant share of the deal, Haversine helped mitigate the lender's risk exposure in a sector known for its volatility. This partnership was not just about financial investment; it was a testament to Haversine's understanding of the construction factoring landscape and its ability to adapt its services to meet the unique needs of its partners. The successful participation partnership resulted in the factor not only securing the deal but also positioning itself for future growth and stability within the competitive factoring market.