When a husband and wife wanted to purchase a small print shop, they were unable to obtain financing because of a recent bankruptcy. To help them complete the sale, the seller agreed to carry the loan for three years. But when that three-year note came due, the business owners still faced the very same problem: they were unable to find a bank willing to refinance the debt because of that recent bankruptcy. Luckily, their banker referred the couple to Radix.
Despite the lack of personal or business real estate collateral, the borrower operated a very successful business with fantastic profitability. Further, while his working capital request was large, he had a perfectly detailed explanation as to how he would use the proceeds. While most banks looked at the borrower’s collateralization and scoffed at lending so much cash, Radix looked at the overall picture and saw just how much the business would benefit from such a large injection. The decision was easy.