This talented, Black female designer's business sells luxury fashion online.
Previously, the only funding they could source themselves was revenue-based financing with an interest rate of 30% that resulted in them paying 20% of their daily revenues to the lender.
They were keen to get funding for marketing and advertising spend ahead of big events like the Cannes Lions festival.
In business since 2017, but still negative balance sheet overall (£-130k).
Annual turnover £1.7 million.
EBITDA £170k.
Being an online shop with a negative balance sheet made them unattractive to many lenders.
From our database of hundreds of lenders, we found lenders that would overlook the negative balance sheet if other criteria were met.
Alongside presenting strong growth and a sound business plan, the owner was happy to provide a personal guarantee.
This opened up several options and the final funding was a term loan of £100k from Lending Crowd at 9% over five years.
This much more affordable arrangement allowed the retailer to boost their marketing spend at a critical time of year and attract more website traffic and sales.
This wasn't the only time we supported this business, they also chose Risecap when they needed more cash to support bigger and more varied stock orders. Read more >
25 Green Street, Mayfair, London, W1K 7AX
Risecap Ltd (Company no. 11203916) Data Protection Number ZA553906. The registered address is 3rd Floor, 86-90 Paul Street, London EC2A 4NE. Risecap is a credit broker and not a lender.
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25 Green Street London W1K 7AX
Risecap Ltd Data Protection Number ZA553906. The registered address is 85 Great Portland Street, London, England, W1W 7LT. Risecap is a credit broker and not a lender.
Copyright © 2022 Risecap. All rights reserved.
