First Capital, a specialised commercial finance company, has provided over USD330 million in new credit lines to small and medium-sized businesses since May 18, 2010 when it almost doubled its equity in a capital raise led by HIG Capital.
Lee Wilson, President and CEO of First Capital, says: "We have the capital and the team to get deals done across a diverse set of industries and geographies. USD330 million in new credit lines demonstrates the value of our business model in the market."
First Capital provides working capital solutions in the form of asset-based loans and factoring which provide liquidity based on a company’s accounts receivable and inventory.
Serving small and middle-market companies with credit facilities, typically ranging from USD3 million to USD15 million on annual revenue ranging between USD10 million and USD100 million, First Capital supports clients in manufacturing, distribution and other business-to-business services.
"We have a high calibre professional team which brings ‘big deal structure’ to smaller companies and a flat organisation that gets deals funded without the typical bureaucratic delays," says John W Kiefer, Chairman of First Capital.
First Capital clients typically have event-driven needs such as rapid growth or turnarounds. New business is based on referrals from investment bankers, turnaround consultants, private equity firms, brokers, banks, accountants and attorneys.
"Product and industry expertise, coupled with a practical approach, is what entrepreneurs and business operators need from their working capital lender," says Wilson. "Our hallmark is delivering on time as promised."
The investment from HIG Capital in May 2010 strengthened First Capital’s balance sheet and provided liquidity for growth. In December 2010, First Capital issued USD100 million of unsecured bonds that paid down its remaining subordinated debt and provided additional growth capital. The company is in the process of obtaining additional lending facilities to support its ongoing growth.
