Responding to a need for acquisition funding and critical working capital
“Because of Webster’s support and because we ran the business so well, it was utterly painless and stress-free.”
– Peter Jenkins, Boston Warehouse
Peter Jenkins is the CEO of Boston Warehouse in Norwood, MA, a private-label manufacturer of gift housewares sold in major retailers. Peter was faced with a tremendous acquisition opportunity but needed the funding to take advantage of this opportunity.
Peter started Boston Warehouse in 1974 and although the company was already successful, he was provided an opportunity that could double the size of his business overnight. Plus, this new acquisition would give him access to the distribution power of QVC. Peter was excited about propelling his business forward quickly, but an acquisition of this size would require major funding and the working capital to keep both companies running smoothly.
Webster worked closely with Peter, reviewing detailed projections to understand the financing needs required to make the acquisition possible and successful.
- Acquisition funding to secure the acquisition that doubled Boston Warehouse’s sales in the year of the purchase.
- Business line of credit to provide critical working capital, including inventory needs and accounts receivable delays.
- Commercial mortgage for their warehouse building, which would house increased inventory.
- Cash management services to streamline payment processes and maximize cash flow.
- Deposit services to provide day-to-day financial support and address Boston Warehouse’s high volume and cash management needs.
Peter Jenkins doubled his revenue “without a ripple” and added substantial incremental EBITDA (earnings before interest, taxes, depreciation and amortization). Since the purchase, Boston Warehouse continues to outperform Peter’s projections and he’s now exploring other growth opportunities, including expanding his customer base to some of the biggest retailers in America.