November 26, 2013
Refinance of debt with additional working capital provide renewal for retail and gas convenience store chain
KCP Advisory Group (KCP), a provider of financial advisory, corporate restructuring and transaction advisory services, is pleased to announce the successful debt restructuring and refinancing of a chain of convenience stores and gas stations. This refinancing of secured debt also served to provide the necessary working capital support for the company to continue with its plans for further expansion.
The company experienced a large drop in top-line revenue when its fuel supplier decided to take back several retail locations and manage these locations directly. To preserve cash flow, new business segments were added to the remaining locations and corporate overhead was cut significantly. KCP provided support and analysis which were essential to secure a new line of credit that is better suited to the long and short term needs of the company.
“The past few years have been challenging for this company,” comments KCP Managing Director, Chris Creutz. “Their business was always profitable, but contractual vendor obligations changed the bottom line. With new financing, they will have an excellent chance at continued and future success.”