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HomeNewsRepublic Business Credit Provides $6.75 Million Asset-Based Loan to Growing Temporary Staffing...

Republic Business Credit Provides $6.75 Million Asset-Based Loan to Growing Temporary Staffing Company

Republic Business Credit has provided a $6.75 million asset-based loan to an award-winning temporary staffing company based in Tennessee. Facing cashflow challenges and outgrowing its existing bank lender, the company sought increased working capital to support its growth.

  1. Company Overview
    • Tennessee-based temporary staffing company with over 25 years in business.
    • Provides staffing solutions for light industrial, administrative, IT, and essential healthcare workers.
    • More than 30 locations nationwide, owned by employees and management team.
  2. Challenges Faced
    • Inconsistent customer demand combined with staffing recruitment shortages.
    • Cashflow challenges due to these factors and the current economic landscape.
  3. Republic’s Solution
    • Republic’s parent company, Renasant Bank, introduced the staffing company to Republic.
    • Republic provided a $6.75 million asset-based loan to address the company’s working capital needs.
    • Republic’s experience with temporary staffing companies made it an ideal partner.
  4. Quote from Republic’s Senior Vice President of Sales
    • Leigh Guglielmo highlights Republic’s ability to support the company’s payroll needs and growth with manufacturing customers.
  5. Loan Structure
    • $6.5 million asset-based loan with an accordion feature for potential company growth.
    • No cashflow-related covenants, providing immediate availability and long-term flexibility.
  6. Speed and Expertise
    • Republic set up the facility within five weeks of initial engagement.
    • Republic President Robert Meyers emphasizes their speed and industry expertise as valuable to companies needing non-traditional funding solutions.
  7. Cooperation with Renasant Bank
    • Republic worked alongside the company’s long-time lender to tailor a supplemental solution.
    • Melody Vollman from Renasant Bank/Southeastern Commercial Finance comments on the tailored solution’s effectiveness.
  8. Industry Context
    • Asset-based loans are common in the temporary staffing industry due to its frequent fluctuations.
    • Republic has partnered with numerous staffing companies to provide similar funding solutions.

Republic Business Credit’s $6.75 million asset-based loan offers crucial support to a Tennessee-based temporary staffing company facing cashflow challenges. With its tailored solution, Republic enables the company to maintain operations, cover existing costs, and plan for future growth. This partnership showcases Republic’s expertise in providing fast and effective funding solutions to temporary staffing companies, filling the gap left by traditional banks.