Tailored financing solution
How eCapital helped this large seafood distributor with high single debtor concentration.
Like many businesses in the hospitality and tourism sector, a leading seafood, protein, and beverage distributor faced unprecedented disruption during the COVID-19 pandemic. With its primary customer—a major cruise line—halting operations for over a year, sales plummeted, and liquidity tightened.
Just as the travel industry began to rebound, the company was hit with another challenge: its bank requested an exit from their line of credit, threatening the distributor’s ability to recover and grow.
THE CHALLENGE
For over a decade, the distributor had built a sizable business centered around one cruise line. While highly profitable in good times, the concentration posed too great a risk for its lender—especially with the debtor deemed uninsurable.
The company needed a $15 million facility to refinance its bank line and support growth during the post-pandemic travel surge, but the best offer it received elsewhere capped out at just $8 million. The business needed a more creative and flexible solution to move forward.
There were many people and outside advisors involved in this engagement working together to get this turnaround client onboarded and out of special assets with the correct debt structure.”
LSQ Regional Vice President
Chris Collins
THE SOLUTION
That’s when LSQ (now eCapital) stepped in. Understanding the unique risk profile, eCapital partnered with an inventory lender, sourced credit insurance, and structured a full $15 million working capital solution.
The program combined accounts receivable financing, inventory funding, and AR management services—ensuring the distributor had the support and structure it needed to succeed. The client also secured an additional $8 million inventory finance facility through eCapital’s trusted partner network.
THE STORY
As cruise lines resumed operations, eCapital’s support positioned the distributor to meet rising demand and scale confidently. Despite the complexity—four parties involved and a tight turnaround—the deal was closed in just 30 days.
“This was a complicated structure,” said eCapital’s Mike Singer. “But the collaboration and commitment across all teams made it possible.” As Karel Lens of Kesk Global Advising noted, “LSQ (eCapital) delivered the right solution for the client as promised—and did so with speed, precision, and impact.”
“In today’s financial market having the right partner to service your clients’ needs promptly and adequately is crucial. LSQ (eCapital) delivered the right solution for the client as promised.” – Karel Lens, Senior Partner at Kesk Global Advising.
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