Refinancing Assets

flossie

The new owner of our company has asked me to put together some ideas to inject some cash in to the company.

As a manufacturing firm with plant and equipment refinancing the assets has been thrown around the table quite a few times and I decided to look a bit more in to it - has anyone any experience of doing this?

Your thoughts and experience would be greatly appreciated.

PAMDILL

In my last couple of companies we did it a couple of times, it helped that the owner had a friend who had his own plant company with access to HP companies. Some HP companies would only do the refinance if they were sold and then repurchased??? Other companies were quite happy about just doing straight refinance. They did have limitations as to the age and condition of the plant and equipment along with the types of machinery. We also had to organise valuations of each piece of equipment.

PGM

Could sell shares to employees.

Paul C

Are payments being collected from customers quickly enough, improve the debtor days? I wonder if there are a few big debts that could be collected asap. Are your suppliers being paid in good time but not too quickly.....You may have some customers that constantly tie up cash during the year in sales at very little profit margin.