Case Study: Business Expansion

We have worked with companies to achieve many business objectives and favorable outcomes for company owners.

Objective

A rapidly growing business services company was being stifled by its bank group during the financial crisis of 2009. The CEO was unable to continue the company’s growth trajectory without refinancing its existing credit facility.

Solution

Ironwood worked with the company’s existing lenders and shareholders to structure a separate credit facility dedicated to financing growth. This facility allowed the company to continue growing with the understanding that its primary bank facility would be refinanced in an orderly fashion after the credit markets stabilized.

Outcome

The Ironwood facility financed growth for almost one year before it was converted to a combination of subordinated debt and equity as part of an overall refinancing. The company continued to grow for the ensuing two years and was sold at a premium valuation to a financial buyer, due in large part to its ability to grow during a period of severe market contraction.