Due to rapid expansion into the United States, a Canadian-based energy services technology company breached financial covenants under its existing credit facilities with a Canadian Chartered Bank and was asked to refinance its credit facilities. The Company lacked the working capital needed to provide services to large energy companies that, while creditworthy, were slow to issue payments while the Company’s operating expenses were primarily comprised of various payrolls. To refinance its existing financing facilities with its unsupportive lender, the Company sought term and revolving credit facilities, which would provide the financial capacity to integrate and build on its strategic expansion.
Invico provided a bridge loan and a factoring facility that refinanced the unsupportive lender’s financing facilities.
The Company was able to better fund operations and payrolls while growing its business with large, creditworthy customers. Due to the Company’s successful turnaround and continued growth, it recently refinanced Invico’s financing facilities with new facilities provided by a Canadian bank.
