Principis Capital (“Principis” or the “Company”), a leading provider of alternative financing to small businesses in the United States and Canada, recently announced the closing of a three year senior secured credit facility with a leading regional commercial bank.
Founded in 2009, Principis quickly developed a proven track record of sales and profitability, funding thousands of merchants across the 50 states and Canada. Principis’ proprietary scoring algorithms and highly automated systems have formed the basis of this success, enabling the company to underwrite and issue funding offers within only a few hours of deal submission.
As the non-bank funding market for small businesses continued to expand, Principis sought a larger credit facility with a financial institution in order to fund its growth in originations, to consolidate its balance sheet and to improve its cost of capital. In early 2014 the Company engaged Bryant Park Capital (“BPC”), a New-York-based investment bank, to raise senior debt.
On August 1, 2014 the new facility was put in place, providing the Company with expanded availability at very competitive rates and positioning Principis for continued growth and enhanced profitability.
“Bryant Park Capital was a valuable partner in our transaction. The firm has knowledge and experience in the specialty finance sector and was able to run a very competitive capital raising process. In addition, the depth and breadth of their relationships enabled them to provide Principis with valuable information and perspective throughout the process. BPC exceeded our expectations.”