Really need help with business loan/LOC for well established business.

Anonymous — Mon, 02 Jul 2018 20:12:04 GMT

I own, with one equal partner, a retail "chain" and wholesale distribution comnpany that has been open for years.

Long narrative short, we have contracts with Costco to purchase overstock/end of season/ display etc goods at a discount, with very minimal say in what or how much we get. This you could imagine, makes cash flow and invetory much more difficult than most small businesses.

We purchased a buildind for our second store, we lease 2 others one a retail store and one for receiving and distrubiting.

I will go ahead and list out what we have as far as CC/LOC/loan etc...

Card---------------Limit/Utilized

WF biz CC= 30K/Maxed

Costco Citi Visa 50K/OVER 57K

WF SBA mortgage Orig 575K/570K

WF SBA LOC 100K/Maxed

Ondeck Loan Owe 38K

Ondeck LOC 10K/8500

Fundbox LOC 25K/Max

2012 Freightliner box truck finianced, Orignal 34K/ Owe ~26K

A lot of these shorter term loans were taken out of neccesity, as our product flow was slowed due to an onslaught of missfortunes around the closing of the property we purchased in Nov of 2011. Took about 7 months to close after seller error/negligence multiple times, which held up tons of funds and accounts etc... So we were unable to open before the holiday season which is vital obvisouly for reatil.

Our gross sales in 2015-2017 3 full years are about 3.5-3.6 Mill 1 Million year ibe, 1.25M 1.3M. And with the new store only opening in mid march, we should still be on track to do about 1.75 Million.

We have been profitable every year, making about $200k give or take a year usually about 20% of gross sales.

I am looking for any help we can get, All of these high interest/shorter term loans are killing us with cashflow and could EASILY sustain 3 times this debt, over a standard loan and pay all of this off. I really appreciate anyone giving this the time and am sort of in a rush as I woul really like to avoid any momentum with new inventory being stalled delayed etc...

THANKS IN ADVANCE!

Re: Really need help with business loan/LOC for well established business.

Anonymous — Mon, 02 Jul 2018 22:04:23 GMT

when you say making about $200k each year, is that before or after you pay yourselves?

Re: Really need help with business loan/LOC for well established business.

redpat — Tue, 03 Jul 2018 12:37:45 GMT

OP, you have several issues. One it seems that you have SBA financing through Wells Fargo and you should look at your loan docs regarding financing outside Wells Fargo and getting lines of credit from other parties, you maybe out of loan covenants. Secondly you need to have a sit down w/ Well Fargo since they look like your Commercial Lender and discuss your situation with them.

No one is going to give you additional credit from what I can see at the moment. Wells Fargo is your only option, IMO.

Re: Really need help with business loan/LOC for well established business.

Anonymous — Tue, 03 Jul 2018 16:46:26 GMT

That is what we take home, splitting that roughly give or take.-

topic Re: Really need help with business loan/LOC for well established business. in Business Credit

Really need help with business loan/LOC for well established business.

Re: Really need help with business loan/LOC for well established business.

Re: Really need help with business loan/LOC for well established business.

Re: Really need help with business loan/LOC for well established business.