Retail, Food & Beverage Company
$343,468
FF&E, IT and Fast Lane Systems
Results
100% Financing
Covered Shortfall
Complete Project Management
EQ Purchase Reimbursements
Author: Regents Capital
Electronics Manufacturer
Electronics Manufacturer
$300,263
Wire Processing and CR22 Machines
Results
Rapid Funding
Managed Cash Flows
Managed Progress Payments
Complete Project Management
$3,756,148 for Hospitality Management Company
Hotel Management Comany
$3,756,148
Ballroom & Lobby FF&E and Soft Costs
Results
Managed Cash Flows
Managed Progress Payments
Complete Project Management
Broad Collateral Allowance
Client required rapid, creative reimbursement of equipment purchases in order to convert variable debt to fixed-rate financing with more flexible terms despite company’s seasonal cash flows and complex legal requirements.
Together, Regents and the client have faced many challenges. In particular, servicing two large projects with upwards of 50% soft costs in multiple locations with 30+ vendors and tiered approval processes required Regents to fully extend our project management expertise to all key stakeholders.
In addition, the client required creative reimbursement financing of recent equipment purchases in order to convert variable debt to fixed rate with more flexible terms, apply capital to bridge seasonal cash flows and to satisfy complex legal requirements associated with existing equipment liens.
As a result, the client has expanded operations and increased penetration into the luxury hospitality market within the Southeastern region of the U.S.
We have had the pleasure of working with Regents Capital on multiple lease financing projects over the years. Their ability to finance our projects, including those with upwards of 50% soft costs continues to surprise us and surpass all others who have competed for our business in the past. Regents also secured funding for previous equipment purchases enabling us to hit our project deadlines; critical in our seasonal based business. Regents excels in project management, often serving as our right hand by processing complex documentation, coordinating with our internal departments and multiple vendor management, all while providing rapid funding. Many of the past projects commenced even before the equipment was delivered.
Our shared success has established a relationship of trust that extends well beyond business, and we look forward to our future partnership with Regents.”
Chris K., Chief Financial Officer
Featured Transactions
$8,806,286 for Construction Company
Construction Company
$8,806,286
Yellow Iron and Industrial Cranes
Results
Managed Cash Flows
Managed Progress Payments
Improved Operations
Complete Project Management
Equipment Line of Credit provided fixed rate financing for over $7MM in yellow iron plus additional $1.8 MM for soft costs – fully utilized within first year.
The client approached Regents as an additional resource to compliment their existing banking group with the intent to acquire much needed equipment at competitive rates without violating their bank covenants and to improve their leverage ratios. In addition, the Master approval needed to have quick funding capabilities, no prepayment penalties, and varying lease structures within each schedule to best service their changing financial needs and market conditions.
As a result of utilizing Regents’ Equipment Line of Credit, the client was able to draw down only as needed to increase equipment inventory depending on customer demand. By carefully managing cash flow and deducting operating expenses through leasing, the client has sufficient liquidity to weather macroeconomic downturns within the energy related industries and anticipates increase utilization in most classes of rental assets.
Featured Transactions
$25,440,906 for Transportation & Logistics Company
Architectural Services Firm
$2,260,053
FF&E, Facilities Build-Out, Software and Signage
Results
Improved Ratios
Broad Collateral Allowance
Preserved Cash/Credit Line
Deep Institutional Expertise
Full service project management processing hundreds of invoices and numerous vendors as well as tailoring structures and documentation to satisfy client’s requirements.
As a long-standing client with multiple Equipment Lines of Credit, Regents has financed a wide variety of assets and managed numerous vendors with diverse invoicing and payment processes. The funding of over 1,000 handheld GPS units proved one of the most challenging projects, requiring a systematic approach for both newly commissioned and seasoned suppliers. The inclusion of delivery and training soft costs for the units was accomplished by leveraging Regents’ broad funding portfolio to provide 100% financing.
Working to preserve the client’s banking covenants, Regents improved debt-to-equity and other leverage ratios as well as providing custom documentation in order to satisfy the client’s legal requirements.
As a result, the client has expanded their logistics operations, improved efficiency and continues to utilize Regents’ expertise to structure transactions that require rapid funding, 100% financing and complex project management.
We have engaged Regents Capital on over 18 equipment financing projects to date and look forward to working with them through many more as we continue to expand across the U.S. We have found the Regents team to be thoroughly reliable and responsive to our many diverse business needs including processing literally hundreds of invoices from both newly commissioned and established vendors. Regents even rewrote schedules to support our unique financial reporting requirements and improve our D/E ratios.
Regents’ commitment to our company has been steadfast; as is our commitment to work together for many prosperous years to come. We wholeheartedly recommend Regents to anyone in need of equipment financing and exceptional client service.”
Chris K., Chief Financial Officer
Featured Transactions
$645,513 for Senior Healthcare Services Provider
Senior Healthcare Services Provider
$645,513
Buses and Fleet Vehicles
Results
Rapid Funding
Lowered Tax Burden
Complete Project Management
Custom Buyout Structures
Rapid funding despite ever changing requirements, heavy government regulations and frequent, low dollar drawdowns of Equipment Line of Credit
Regents’ ability and agility were essential to securing funding for our client whose operations are highly regulated by local, state and federal agencies overseeing the healthcare and senior services industries. The principle challenges included the need for rapid funding despite even more rapid changes in the structuring requirements.
An Equipment Line of Credit greatly reduced the time to secure funding, documentation and placing assets in the field; important for the client’s aggressive expansion goals. Through this Line of Credit, the client secured funding through 12 separate schedules and consolidated vendors, which resulted in a very rapid and seamless funding process.
Solving real time problems pertaining to tax treatments and titling facilities that covered three different states, each with unique filing processes, proved to the client that Regents values relationships. The client has secured an additional Line of Credit which has served to further streamline the funding process and as a hedge against rising interest rates.
Featured Transactions
$1,076,866 for Restaurant Logistics Company
Professional Services Retail, Food & Beverage
$1,076,866
Fleet Vehicles
Results
Rapid Funding
Custom Buyout Structures
Lowered Tax Burden
Deep Institutional Exertise
Leveraging Regents’ structuring expertise to rapidly fund fleet vehicles so highly customized that vendor management and resale valuations were significant challenges.
Working in a highly regulated industry, Regents was challenged to secure rapid funding in order to meet the client’s aggressive expansion goals. The transaction was complicated by the highly customized equipment unique to the client’s specifications which impacted resale valuations and expected utilization rates.
Regents’ expertise in structuring and project management was employed to provide custom buyout options and to manage the many vendors who facilitated the complex equipment customization with progress payments matched to project completion. On several occasions, Regents met personally to ensure progress and client satisfaction.
As a result, the client secured an Equipment Line of Credit to fund additional expansions which further increased funding turnaround times and improved communication and operational efficiency for both the client and Regents.
Featured Transactions
$1,864,511 for Concrete and Building Materials Supplier
Concrete and Building Materials Supplier
$1,864,511
Concrete Glider, Mixers, Blender and Portable Plant
Results
Managed Progress Payments
Complete Project Management
Broad Collateral Allowance
Deep Institutional Expertise
Leveraged deep institutional expertise in structuring Equipment Finance Agreement for used concrete equipment from foreign vendor with complex documentation and regulatory requirements.
With over 30 years of operations as a concrete supplier, the client has vast experience in equipment financing as well as construction. Acknowledging the complexity inherent with acquiring used equipment from a foreign vendor, as well as additional collateral challenges they faced, the client reached out to Regents as a resource to augment their banking portfolio.
Regents has worked diligently since early 2014 with all parties, including the bank group to provide fast, flexible EFA and TRAC financing through multiple schedules for a wide variety of assets including glider mixers, compressors and both fixed and portable batch plant equipment. Regents has also provided early commencement strategies to hedge against impending rate increases and reimbursements for equipment purchased prior to 2014 in order to better serve the client’s needs.
Regents’ focus on building strong relationship-based business is shared by the client and reinforced by the trust extended to Regents by the client’s bank group and the foreign vendors.
Featured Transactions
$430,255 for Industrial Construction Company
Construction Company
$430,255
FF&E and Facilities Build-Out
Results
100% Financing
Managed Cash Flows
Complete Project Management
EQ Purchase Reimbursement
Secured 100% financing with no deposit or advance payment for office build-out despite heavy soft costs of FF&E, delivery and installation.
With no previous equipment financing experience to draw upon, the client relied heavily on Regents’ structuring expertise and broad funding portfolio to secure financing for their office relocation project’s FF&E and associated soft costs (including delivery and installation charges) despite the low residual value of acquired assets and rapid funding deadline.
Regents secured 100% financing for the project, with no deposits or advance payments required in order to improve the company’s seasonal cash flows and to support expansion plans. As a result, the business relationship has also expanded over the past 3 years with additional capex scheduled well into the new year.
Featured Transactions
$915,000 for Automotive & Industrial Manufacturer
Architectural Services Firm
$2,260,053
FF&E, Facilities Build-Out, Software and Signage
Results
Improved Ratios
Broad Collateral Allowance
Preserved Cash/Credit Line
Deep Institutional Expertise
Complex project and vendor management included past due invoice resolution and accommodations for regulatory and year-end reporting requirements. Successful execution has resulted in establishing the client’s trust and a new Equipment Line of Credit.
Key equipment financing realities for the client included the need for broad collateral allowances and coordination of vendor invoices and payments. As most lenders would have considered the equipment as soft costs (installation, repairs, and refurbishments), Regents was able to bend on collateral since the client’s credit profile was strong. Vendor management proved challenging as well, given that many of the invoices were past due. Regents stepped in and leveraged our reputation as a reliable financing resource to work with the vendors to resolve issues and complete the project on time and within budget.
Regents’ rapid funding completed the first schedule before year-end, which improved year-end ratios. In addition, throughout the process, Regents provided numerous accommodations in documentation in order to satisfy GAAP reporting requirements as well as the client’s legal and regulatory disclosure requirements associated with being a publicly owned entity.
Working with a 100+ year old public company is both an honor and an obligation of trust for Regents. We share in our client’s positive outlook (as noted by the Executive Vice President in the recommendation below) and look forward to a long and mutually beneficial relationship for many years to come.
For many years, our company has served as a trusted resource for our customers automotive and industrial needs. Regents has in turn become a valuable resource we trust to serve our company’s equipment financing needs. As a publicly traded company operating in a highly-regulated industry, we rely heavily on Regents’ superior project management, deep institutional knowledge and structuring expertise. Regents provided legal accommodations to meet regulatory and multiple vendor requirements for financing of nontraditional assets all while delivering against demanding deadlines.
As a result of their outstanding service, we have secured an Equipment Line of Credit with Regents and look forward to long and mutually beneficial relationship for many years to come.”
George S., Executive Vice President