Capstone To Fund $7.8 Million for Complete Floorin
New York, December 1--Capstone Business Credit, LLC, a venture merchant banking firm that provides alternative financing to firms involved in the domestic and international trade of finished consumer and industrial products, today announced the signing of a one-year project financing agreement with Complete Flooring Supply Corporation (CFS), based in Suwannee, GA. The deal represents funding $7,800,000 in accounts receivable over a one-year period commencing in November 2004.
The funding will allow CFS to double its sales and expand its US distribution system by utilizing Capstone's structured merchant banking model. The structure will include factoring approved accounts receivable upon shipment of the merchandise from China to the US account debtor.
CFS specializes in the manufacturing and sale of bamboo and hardwood flooring to home improvement stores, builders and building supply distributors The US floor covering market has risen to 20.3 Billion in 2003 from 14.9 Billion in 1995.
"The financial leverage provided through this agreement will enable CFS to take advantage of incremental sales opportunities that would otherwise be lost without Capstone's funding," said Joseph Ingrassia, managing member of Capstone Business Credit. "The flooring industry is a $20 billion per year industry with particular growth in the 'Fashion Forward Floor' segment," continued Ingrassia. "The deal will enable CFS to significantly increase US distribution and sales to compete more effectively within their target market," stated Ingrassia.
Complete Flooring Supply (CFS), based in Suwannee, Georgia, is a leader in the manufacturing and sale of bamboo flooring to home improvement stores, builders and building supply distributors. The company provides flooring in designer colors and offers hand distressed finishes. CFS also has a line of hardwood flooring in the same designer colors and finishes as the bamboo, as well as mill work to complement each type of wood or laminate offered.
