Backing Business: Aviation Maintenance Repair and Overhaul Companies

Two aviation repair companies under the same ownership were in an enviable position: with over 30 years of experience these companies have seen a rapid growth in the demand for their repair services. The companies are experienced in providing commercial and military services to clients worldwide. They have Federal Aviation Administration (FAA) and European Union Aviation Safety Agency (EASA) certifications in wing repairs, on-ground aircraft support, pneumatics, flight controls, fuel components, composite/sheet metals, generators, integrated drive units, and landing gears. To help meet this demand for growth consisting of Capital Expenditure (CAPEX) needs and working capital needs, our lending team structured a solution under one credit facility.

We set up a credit facility designed to provide the companies with an immediate capital injection and long-term financing flexibility. The three-pronged creative solution addressed the companies working capital needs with an asset-based line of credit, a term loan to finance existing equipment, and a line of credit converting into a term loan for future CAPEX. This CAPEX line gives the company the flexibility to acquire the equipment, implement it on their production line, train the technicians, and begin to generate a return on investment at a low initial cost of capital. Now, with the ability and flexibility to finance their working capital needs and invest in capital expenditures at a lower borrowing cost, the executive team at both aviation repair companies can focus on growing revenues and expanding their customer base.

See how our customizable business financing can help your company meet growing demand and plan for the future.

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