The Customer
- The client is a privately held IT managed services provider.
- The company offers a full suite of technology solutions, including cloud services, cybersecurity, digital transformation, and equipment support.
Challenge
- The company was entering Phase II of a mission-critical $4 million ERP rollout scheduled over 15 months.
- While financially healthy, the leadership team prioritized preserving liquidity to support ongoing operations and future strategic growth initiatives.
Done Deal
- First National Capital structured a progress payment financing plan aligned with key project milestones.
- This structure allowed the vendor to be paid directly while preserving the client’s available cash.
- The financing included a 36-month amortization schedule with a $1.00 buyout at the end of the term.
- FNC applied flexible underwriting, taking into account the company’s recurring revenue, positive EBITDA, and the strategic value of the ERP platform, despite the absence of traditional hard collateral.
- This solution enabled the client to move forward with its digital transformation without depleting its liquidity.
- The ERP platform is now driving stronger internal reporting, greater operational efficiency, and improved scalability across the business.
