Liquid Capital Midwest offers working
capital solutions and services that help businesses succeed. We operate as a partner without taking
equity, sharing in profits, or making business decisions. Our services include:
Factoring. All of a business’s approved accounts are
sold to Liquid Capital Midwest. We advance
typically 80% in cash up front and the balance as we collect, less our discount
Factoring. The same
services as full factoring, except only a portion of the business’s approved
accounts are sold to Liquid Capital Midwest, as chosen by the client.
Order Finance. Liquid Capital Midwest offers purchase order finance for
the acquisition of pre-sold inventory.
Factoring the A/R on delivery of the goods to the customer funds the payment
to the manufacturer.
Back Office. Liquid Capital acts as the business’s outsourced
accounts receivable department. Our qualified
professionals underwrite the customer’s credit, provide collection services,
process payments through a lock box, and provide a full on-line reporting
system. The cost is very economical
compared to staffing a credit department in-house.
Credit Insurance is an economical way for a business to help insure selected invoices
against loss from a customer’s insolvency.
SITUATIONS WHERE WE
Liquid Capital Midwest provides strategic
solutions for businesses that need working capital. We can help businesses that do not currently
qualify for a bank loan. Here are some
situations in which we can be of help:
Factoring provides working capital to fund growth opportunities and
seasonal peaks in demand. A business
will never again need to turn down profitable business.
of Business. When a
business is sold or recapitalized, the added burden of funding new debt can be
managed by an increase in working capital provided by factoring.
Equity Dilution. In venture
or angel-funded companies, factoring can avoid or delay the need for additional
equity. The client “rents” needed
capital from us on a short to mid-term basis.
This can eliminate or minimize permanent equity dilution.
Ineligible Receivables on Bank Line. Liquid Capital Midwest provides spot factoring for
ineligible receivables due to high concentrations or foreign customers.
BankPlusProgram. Liquid Capital Midwest has developed a combination
bank line and factoring line where the bank provides a line of credit and is in
first lien position. Liquid Capital Midwest
offers a junior factoring line resulting in a combined lower cost to the
client. BankPluscan also be used by a bank for commercial
Factoring can be used to provide funding for bankruptcy reorganizations.
Liquid Capital Midwest is a
Southwestern Ontario based finance firm that specializes in providing
innovative working capital solutions for small and medium sized businesses that
do not yet qualify for, or have reached the limits of their bank financing. We strive to be the responsive alternative to
traditional lending for businesses with short term needs for working capital. Our clients are typically startup or
established businesses that have credit requirements between $5,000 and $10,000,000
and are poised to take advantage of growth opportunities.