With Growth Capital's help, an Ohio florist business managed to make some significant financial progress. The Cleveland Plant & Flower Company took on its existing debt and refinanced it to make it work better for them through the use of our resources. Since it operates throughout the state, the company had mortgages from multiple facilities it needed to address to make its mission more achievable.
What the company needed
Despite the name, the Cleveland Plant & Flower Company appears in several cities beyond Cleveland, including Parma. This was where the most prominent of three specific properties had been the source of mortgage debt, as well as a 26,372 square foot facility. In addition to this value, CPF had to approach its budget in a manner friendly to its bottom line.
A major part of the company's issues came from the complexity of its business setup, building off of more than 100 years of active business. The company has plants, flowers and other related products to consider as it meets orders within specific time frames.
"Cleveland Plant & Flower Company was able to process its debt in a way that benefited it."
There was also the need to keep all organic perishable products fresh and deliver them in good condition. The business' clients are diverse, as are the buyers presenting the plants for different purchases. All of this was what the company had to consider as it approached its refinancing plan.
Growth Capital's solution
Taking advantage of Growth Capital's loan options, CPF processed its debt in a way that benefited it. After refinancing its mortgages with more than $2.2 million, the company saw these advantages:
- Clear credit: Just by reassessing its current mortgages, the company could now pay off its credit lines and get back to a clean slate while satisfying its mortgage needs at the same time.
- Lower monthly payments: Growth Capital gave CPF access to its unique rates, which are well below market average and therefore more advantageous to customers. Because of this, the business had a chance to reduce its typical costs and make spending easier for other projects on a regular basis. This brought the advantages of the refinance beyond the mortgage.
- More resources: Refinancing in this way meant that CPF could "clear the decks" for more work with its facilities and focus on meeting other cost deadlines, thanks to its newly available capital.
- Stronger market position: All of the above add to the florist company's stability in the greater market and gave it fewer things to worry about going forward.
Existing loans can be challenging without creative financing expertise. Growth Capital knows the specifics of Ohio SBA loans, such as the SBA 504, which can contribute to refinancing. Read more about this aspect of the program here.