Opportunity: Exaco is a trading company that imports Greenhouses, composters, and a broad set of specialty lawn & garden products that are sold through major retailers such as Costco, Sam’s Club, Wal-Mart, and Amazon.com. The Exaco management team had “boot-strapped” the company through 40% Y/Y growth and were in need of debt to fund inventory and receivables through the busy Spring season for 2010.  In addition, Exaco was looking for a new banking partner to develop a relationship and grow with them.

How AMP Helped: The recent positive performance and key financial trends placed Exaco in a postion to recapitalize existing debt into a long-term structure, and gain access to short term funding for the busy season. The AMP team did a thorough review of the historical financials and created monthly projections highlighting the use of debt funds.  It was crucial to show banks the levers of control in place to manage growth at a reasonable pace.  We created a "book" targeted at the banks to highlight growth strategy, and key ratios needed to evaluate the loan.

With the foundation in place, the AMP team introduced Exaco to 6 local banks whom we have relationships with.  We prepared the Exaco team for these meetings, and supported through the banking evaluation process. 

Results: The team is currently reviewing offers from key banks in order to make an informed decision.