Transition Capital.
Securing Transition Capital with Edge.
Post-pandemic, every company is in a unique period of transition. From seemingly ever-changing workplaces and spaces to adapting the way we do business, change is a universal norm. The pandemic has not only accelerated fundamental shifts in the way we work and live, but it has also increased the need for companies to have access to “transitional capital” – capital that can more easily and quickly adapt to the changes that have already occurred and the inevitable future changes a business will go through. A company’s ability to seize new opportunities, invest in infrastructure, buy or sell a business, rebuild inventory or expand its reach all depend on access to capital. And the ability of privately owned, non-regulated capital sources to approach these situations with flexible, non-dilutive credit solutions that are tailored to the needs of individual businesses has become increasingly important in today’s climate.
Edge Capital is a family office-backed specialty finance company, free from the layers of approvals, bureaucracy, limitations, and regulations of most financial lending institutions. We do not start evaluating a potential credit by focusing on what is “wrong” with the business, instead we determine whether we are able to craft a bespoke capital solution that meets both the unique needs of a business and our risk tolerance. Our firm’s mission is to question and improve long-held industry practices, maximize flexibility for the companies we work with, and partner with our borrowers through transitions both expected and unexpected. Our lending agreements and borrower relationships are not fraught with tripwires and financial covenants, designed for us to profit when our customers are in the most need. Instead, we pass along our edge to our customers, capitalizing on the flexibility of our capital source and growth mindset.
Our Edge.
- NWhere applicable, we can flex industry-typical rigid advance rates and parameters to fit the needs of specific businesses.
- NNot only do we lend against accounts receivable, inventory, machinery and equipment, and owner occupied commercial real estate, Edge also factors in an abundance of imperfect collateral.
- NInstead of a check-the-box credit evaluation process, we look to the projections and future plans of businesses including profitable, pre-revenue, pre-turnaround or transitioning companies.
- NWe can plan ahead to “right-size” credit facilities with company growth, often including pre-negotiated accordians in our agreements.
- NBanks can keep their deposit relationships with their customers while we provide a line of credit to get borrowers through a transitional period before returning to a bank.