An international healthcare staffing agency headquartered in Virginia, with operations spanning domestic and global markets. Despite its strong reputation, the agency, like many in the staffing industry, faced financial challenges that created an opportunity for strategic financial realignment. The agency was in search of alternative financing and met with multiple lenders, ultimately deciding on Porter Capital.
Read their story and learn how Porter Capital’s banking partnership opened the door to alternative financing and a $20 million funding package that allowed the company to retain ownership and pursue its growth goals.
“The Porter Capital team worked through two holidays to get this transaction done and ensure our company has financial flexibility into the future.”
The Challenge
A healthcare staffing agency faced significant financial challenges that required immediate attention. Its revenue had dropped significantly from a COVID-19 peak, creating cash flow issues and leading to breaches in bank covenants. The situation was further complicated by the need to buy out a major shareholder, adding financial strain. Additionally, a reduction in available credit limited the agency’s ability to meet operational demands. With a tight refinancing deadline during the holiday season, the pressure intensified. To make matters worse, there was a looming risk of losing ownership, as the agency faced pressure to sell a majority stake to a private equity firm, jeopardizing its autonomy.
The Solution
Porter Capital delivered a tailored financing solution to address the client’s specific challenges. This included a $15 million factoring facility that turned accounts receivable into immediate working capital, stabilizing operations and ensuring payroll was met. Additionally, a $5 million term loan provided extra liquidity and a financial cushion for future growth. Thanks to Porter Capital’s streamlined underwriting and legal expertise, the deal was closed quickly, even during the holiday season. This comprehensive solution replaced the agency’s traditional loan, eliminated the pressure of a forced majority sale, and empowered the company to retain ownership while focusing on its growth objectives.
Porter Capital Can Help Fund Your Business Growth
If you are a business owner looking for working capital, invoice factoring, or in a situation similar to our staffing agency client, please visit our Apply Page.
If you are a broker looking for solutions to meet the needs of prospects who do not qualify for traditional financing, you can submit a referral for review on our Partner Page. Our team would welcome the opportunity to find the right financial solution to best fit your client’s needs. As always feel free to contact us at team@portercap.com or give us a call, 1-888-865-7678,
