Big Shoulders Capital is innovative and fast, and has a passion for helping companies in transition, turnaround, and restructuring. We offer creative financing and equity solutions that help businesses get back on their feet.
We make secured loans to small and middle-market companies in the United States. We lend to a variety of businesses, primarily in the manufacturing and construction industries.
Our loans are secured on a senior basis by machinery and equipment, with other eligible collateral potentially including inventory, accounts receivable, and occasionally the real estate dedicated to the borrower’s business.
Our minimum lending amount to a single borrower is $500,000, and our maximum is $15 million.
Big Shoulders Capital can make the biggest difference where businesses in transition require funding. Perhaps you were previously funded by a bank that no longer wishes to retain the credit, or you are in the midst of a restructuring. Often, our borrowers need a bridge loan during a turnaround phase. Whatever the situation, Big Shoulders Capital develops a number of creative lending solutions to present to you.
Big Shoulders Capital also invests in companies with sales of $10 - 100 million. We like stories - businesses with good “bones” that have met with unfortunate circumstances. We focus on underperforming manufacturing, construction, distribution, and service businesses that have good fundamentals and potential unrecognized latent value; and unprofitable and/or over-leveraged companies.
Our investments include
- Recapitalizations that include debt restructurings achieved both in- and out-of-court
- Consolidation plays where operations of troubled industry players are combined to create increased utilization of assets and spread fixed costs
- Orphan entities of larger organizations
- Special situations involving family succession issues, investor and partner dissolutions
- Time-sensitive, opportunistic investments.
Big Shoulders Capital also purchases commercial/industrial machinery and equipment (M&E) from businesses needing capital, and leases it back to those businesses. The lessee makes monthly rent payments to Big Shoulders Capital and continues to use the assets.
Selling and leasing back unencumbered M&E is an effective way to generate cash needed to operate the business. Whether you’re experiencing a hurdle in operating performance or seeking an alternative to bank lending, the sale-leaseback structure can be a good solution.
Lease terms are one to four years.
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