Sample Transactions

Over Lighthouse’s 30 plus years in business, we have closed hundreds of transactions.  Here are some representative samples of these success stories.

Manufacturer of Athletic Equipment

$2,500,000

Revolving Line of Credit & Term Loan
North Carolina

About This Deal

LIGHTHOUSE SUPPORTS COMPANY POST BANKRUPTCY

The company experienced significant sales declines as a result of the Covid-19 pandemic as athletic events and seasons were canceled leading to a bankruptcy filing and reorganization.  After exiting bankruptcy, the company needed an understanding lending partner to pay out a previous lender and provide additional working capital.  Lighthouse structured an aggressive revolving line of credit against accounts receivable and inventory and provided a term loan secured by machinery and equipment that not only paid out the existing lender but created a significant amount of additional liquidity.

Distributor of Lifestyle Apparel

$3,750,000

Revolving Line of Credit
Tennessee

About This Deal

LIGHTHOUSE AGGRESIVELY LEVERAGES INVENTORY TO CREATE LIQUIDITY

This TN based designer, importer, and distributor of lifestyle apparel needed a more traditional line of credit to support it’s current and projected growth.   Given the existing challenges in the Asian supply chain, the company also wanted to get ahead of any potential supply issues by importing product for several selling seasons.  Lighthouse was able to support this strategy with an aggressive inventory loan structure in conjunction with the accounts receivable allowing the overall loan to be inventory heavy during this and future, seasonal inventory build-ups while also advancing against in-transit inventory.

Distributor of Flooring Products

$5,000,000

Revolving Line of Credit
Georgia

About This Deal

LIGHTHOUSE REFINANCES PEG OWNED COMPANY CREATING SIGNIFICANT LIQUIDITY

After the initial acquisition by a Kentucky based private equity group and two additional add-ons, the company was burdened with too much overhead leading to operating losses and lender fatigue. As a result, the incumbent lender lowered the existing line of credit creating a working capital strain. Lighthouse structured an aggressive line of credit against accounts receivable and inventory that completely paid out the existing facility and generated significant working capital to support the company as it executes its internal turnaround plan and seeks additional sales growth.

Importer & Distributor of Seafood

$5,000,000

Revolving Line of Credit
Florida

About This Deal

LIGHTHOUSE SUPPORTS COMPANY WITH IN-TRANSIT INVENTORY FINANCE & LC SUPPORT

This importer of premium quality crabmeat faced unprecedented challenges as the Covid-19 Pandemic shut down two of its main lines of business, the hotel and cruise line industries. The company reacted quickly to reduce expenses and locate new sales channels, but their revenues declined significantly leading to losses and a reduction in their borrowing needs. As a result, their line usage became too small for the incumbent lender who introduced the company to Lighthouse.

Lighthouse moved quickly to structure a line of credit that not only provided advances against AR, but also against inventory both in the company’s warehouse in Miami and in-transit. Lighthouse further supported the company by providing a sub-line to back letters of credit to enable the company to rebuild its inventory in preparation for the reopening of the economy. As a result of this aggressive loan structure, the company should be well positioned for growth in the future.

Plumbing & HVAC Products Distributor

$5,000,000

Revolving Line of Credit
North Carolina

About This Deal

LIGHTHOUSE PROVIDES REVOLVER; ARRANGES TERM LOAN

This company imports and distributes high quality plumbing and HVAC products. For more than 100 years, the company’s brand has represented innovative commercial and industrial valves along with HVAC grilles, registers, and diffusers built with confidence and quality.  The company recently made the strategic decision to exit a low margin line of business resulting in reduced revenue. As a result, the borrowing need under their existing line of credit decreased, thus making their credit facility too small for the incumbent lender.

Lighthouse not only structured an aggressive line of credit against accounts receivable and inventory but arranged a new $2,350,000 Real Estate Term Loan. The total refinance paid out the incumbent lender completely and generated significant working capital to support the company’s continued growth efforts.

Furniture Manufacturer

$3,000,000

Revolving Line of Credit
North Carolina

About This Deal

THE RIGHT FIT

This company, based in North Carolina’s famous furniture heartland, manufactures both case good and upholstered furniture.  For 30 years, the company has been recognized industry-wide for its exquisite quality, service, and value.  The company’s bank was acquired by a larger regional bank which determined that the loan relationship was too small.

The $3,000,000 request fit right in the middle of Lighthouse’s lending range of $1,000,000 to $5,000,000.  Lighthouse structured an aggressive line of credit secured by accounts receivable and inventory that completely paid out the existing bank and created significant additional working capital availability to support continuing operations.

 

Auto Parts Manufacturer

$2,500,000

Revolving Line of Credit
Tennessee

About This Deal

SEASONAL STRUCTURE CREATES ADDITIONAL AVAILABILITY

Founded in 1948, the company is a leading manufacturer of cold weather starting aids along with a wide variety of exhaust clamps, placards, and other automotive products.  For over 70 years, the company has provided high quality American made products and exceptional service to the OE and aftermarket segments.  Sales declined over the last two years related to unseasonably warm winters straining profits and cash flow.  The prior President along with a new, experienced CFO were put in place to lead the company back to profitability.

Lighthouse took the time to analyze and understand the company’s highly seasonal cash flow and structured a revolving line of credit secured by accounts receivable and inventory to support the seasonality.  By allowing the loan to be inventory heavy during seasonal revenue dips, Lighthouse provided this manufacturer with the necessary liquidity to build inventory ahead of its sales season.

Narrow Fabrics Manufacturer

$4,000,000

Revolving Line of Credit & Term Loan
North Carolina

About This Deal

CASH IS KING; TERM LOAN CREATES ADDITIONAL LIQUIDITY

Since 1986, this company has manufactured narrow fabrics for the apparel, bedding, ath-leisure, and other commercial and industrial markets.  With both domestic and foreign manufacturing capabilities, the company has earned a global reputation as a versatile and complete source for high-quality narrow fabrics. The company experienced losses and negative cash flow due to excessive debt service related to foreign acquisitions and lost sales in the automotive space.  New management was able to refocus the business on profitable segments and eliminate under-performing business units.

Liquidity was very important to this manufacturer.  Lighthouse provided an aggressive structure that included a term loan secured by machinery and equipment along with the revolver secured by accounts receivable and inventory to maximize liquidity.  As a result, the company continues to replace lost sales and grow profitably.

Frozen Foods Manufacturer

$3,924,000

Revolving Line of Credit, Term Loan
North Carolina

About This Deal

TERM LOAN CREATES ADDITIONAL LIQUIDITY

This manufacturer has been producing premium quality value added food products since 1998.  Research and Development is key to this company’s success.  The company has dedicated staff and onsite kitchen facilities that allow it to focus on the development of both core and innovative products regarded as cutting edge in both taste and eating experience.  Due to the loss of a large seasonal client, the company experienced short term losses as it sought to replace the lost business.  New, less seasonal sales have been developed allowing the company to return to profitability.

Lighthouse provided an aggressive revolving line of credit secured by accounts receivable and inventory.  In addition, Lighthouse added a term loan secured by machinery and equipment to increase liquidity.   As a result, the prior bank was paid out completely, and the company had the liquidity required to support the new sales growth.

Distributor of Retail Displays

$2,500,000

Revolving Line of Credit
Georgia

About This Deal

REVOLVER CREATES LIQUIDITY

This distributor was formed in 1992 in Atlanta by a father and son duo that were pioneers in the retail display fixtures industry. The company was started to meet the needs of retailers and contractors all over the world and has a unique business model that allows them to work directly with distributors to offer the most extensive variety of standard and custom display fixtures worldwide. Due to the proliferation of ecommerce, sales have been declining over the past several years. The company has taken steps to right-size their cost structure and is developing products outside of the retail sector.

Lighthouse partnered with a real estate lender to refinance the entire bank debt and provide the company with ample liquidity to support working capital and new product development.