June 17, 2024

The Evolution of a Factoring and ABL Leader: A Partnership Story with Haversine Funding

Explore the inspiring success story of a factoring and ABL leader's growth, forged through a powerful partnership with Haversine Funding. From humble beginnings to industry prominence, discover the strategic milestones and the future of visionary finance.

The Beginning

In the competitive world of specialty finance, the launch of a new factoring and ABL (Asset-Based Lending) firm is a tale of ambition, precision, relationships, vigilance, paranoia and strategic partnership. This specific story begins with Haversine Funding recognizing the potential of an emerging lender and ready to make its mark in the industry. Owned and operated by individuals with deep industry experience, they had a plan for the future and approached Haversine to help execute a vision. One founded on making businesses better by offering customized financial solutions tailored to their needs. Their ultimate goal and focus was and continues to be to improve the lives of others. So, with just a handful of client relationships and a purposeful vision for the future, this lender embarked on its journey with a modest but pivotal senior secured, revolving line of credit from Haversine.

The Growth

Over the ensuing years, this partnership truly illustrated the essence of growth and mutual trust. Haversine's commitment saw the initial credit line evolve into a sophisticated, tiered but unitranche line, ultimately providing up to 95% funding on eligible factoring advances and ABL loans. This growth though wasn’t only in numbers; it marked the lender's transition from a budding enterprise to a formidable force, with a credit line expansion from under $1MM to $30MM in only a few short years.  

This trajectory of growth was mirrored in every facet of the lender's operations, from platform development in systems and processes to team expansion, driven by a relentless pursuit of excellence and a desire to make a meaningful difference in the lives of their customers and their team.  

The Transition

With success comes transformation. The lender's strong operating history and strengthened platform eventually paved the way for a transition to traditional bank financing, facilitated by Haversine. This move to a lower cost of funds not only marked a significant milestone in the lender's journey but also showcased Haversine's role beyond financing - as a connector and strategic advisor.

Even as bank financing took precedence, Haversine's involvement took on a new form, providing a $12.5MM junior capital facility, in addition to their bank line funding, to support the lender's continued growth for the future.  

The Partnership

This journey from inception to industry contender is a testament to the power of strategic partnership. Haversine’s role transcended that of a financier; we were a collaborator, advisor, and believer in the lender's vision. Through co-underwriting support, process optimization, sounding board guidance, industry insights, and more, Haversine demonstrated the depth of its commitment to the lender's success.

The Future

This story is more than a case study of financial growth; it's a narrative of how visionary partnership and strategic support can set the stage for future leaders in the factoring and ABL industry. As the lender looks to the future, its foundation with Haversine remains a cornerstone of its success, ready to conquer new heights and challenges ahead.

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