Working capital financing for a steel reinforcement product manufacturer
The Company was founded in 2014 and manufactures steel reinforcement products such as reinforcement meshes, carcasses, straight rebars, metal spacers, and similar items. The Company owns two production units in Vangaži and Jelgava, while its assembly and warehouse facilities are located in Riga. Production and assembly processes are carried out over a total area of 6,000 m². Currently, the Company employs 23 people. As the peak season approaches, the Company aims to optimize its cash flow, given that many suppliers require advance payments or have short payment terms, while receivables are subject to longer deferral periods.
Therefore, the Company is seeking EUR 310,800 financing for 18 months to cover working capital needs. The loan will carry a 10.92% annual interest rate (0.91% monthly) and it will be amortized monthly, except November 2025 to February 2026 (four months) when only interest payments will be made. Personal guarantees will be provided by the majority shareholder and the manager of the Company. The project risk rate is B (85 out of 100).There are a number of factors that make lending to the Company an attractive opportunity and the main highlights are as follows:
- The Company has more than 10 years of experience in the industry.
- The Company has established a versatile customer base with its products being exported to Scandinavia and across the Baltics.
- The Company does not have any other significant financial liabilities.
- Both Company’s manager and the majority shareholder will provide their personal guarantees for the loan.
Latvia 
Lithuania 
Estonia