Supporting Growth While Managing Risk

How participation funding helped a factor expand client capacity while balancing portfolio concentration

The Situation

A leading factoring company had been steadily upsizing a facility to match the rapid growth of a key healthcare/pharmaceutical client. The opportunity was significant but so was the concentration risk. When the facility needed to increase from $60,000,000 to $70,000,000, the factor sought a way to share risk while maintaining balance-sheet strength and full control of the client relationship.

The Solution

Haversine Funding provided a $10,000,000 behind-the-scenes participation, enabling the factor to:

• Increase lending capacity to meet the client’s growth
• Reduce concentration risk by sharing exposure
• Maintain direct servicing and relationship control
• Scale seamlessly without changing internal processes

The structure was designed to be flexible and responsive, aligned to both the factor’s strategy and the client’s growth.

The Results

• Facility upsized confidently without additional risk to the factor
• Portfolio remained balanced and diversified
• Relationship with a key client strengthened
• A repeatable, scalable model established for future upsizes

Why It Matters

Client growth creates both opportunity and risk. With Haversine’s participation funding solution, the factor grew alongside its client while protecting its portfolio - proof that the right capital partner makes growth both profitable and sustainable.