Wintrust Receivables Finance (WRF) announced the closing of a new $15,000,000 account receivable line of credit for a well-established Midwest-based third-party logistics firm. The company has been providing best-in-class logistics and transportation services to customers in the food and beverage space for over 25 years. The company provides a diversified mix of transportation solutions including refrigerated, dry-van, LTL, and flatbed. As the domestic freight market weakened over the past year, the company started to generate losses and negative cash-flow. This led to multiple covenant violations with their incumbent bank. Despite an over 10-year relationship with the company, the incumbent bank asked it to find a new lender. When WRF was introduced to the prospective client, the management team had recently made multiple cost-cutting moves that were projected to bring the company back to monthly cash flow break even over the near term. This clear turnaround plan combined with strong opening day liquidity allowed WRF to give the company the line of credit they needed. The new WRF line of credit provided an aggressive advance rate and a no financial covenant structure to give the company the access to liquidity and flexibility to execute their plan. In addition to the new line of credit, the WRF team is also providing a full suite of Treasury Management products and services.

According to Jason LeuVoy, Wintrust Business Credit National Head of Originations, “We are excited to add this well-established company to our book of clients in the transportation and logistics space. The management team’s industry experience and attention to detail give us a high level of confidence in the company’s ability to execute their plan. LeuVoy added, “The WRF team has a long track record of supporting the working capital financing needs of companies in the logistics industry during multiple industry cycles, and we think this transaction will make another excellent addition to our portfolio of transportation and logistics clients.”