Replies to post #37393 on Nate's Food Company (NHMD)

[ctvette2003]

I am not sure what you do for a living but I own a decent sized company. We have great sales and an unusually high profit margin, however cash flow sucks. When we applied for a line of credit, it was a huge pain in the ass and we had almost 2M in receivables and it still took 3/4 months to get in place.
I would assume Nate needed cash relatively fast and without signed contracts, a backlog of orders and some acct receivables. I think Toxic financing was his only option. No conventional back is willing to accept risk these days.

[fozzie1964]

Stupid mistake.
Nhmd
Fozz