How a $5M Business Uses UpCrunch to Keep Growing Successfully
How a $5M manufacturer keeps the next job's materials paid for.
A custom woodwork manufacturer that has come back to UpCrunch for working capital over multiple rounds and several years, without slowing down payroll or the next project.
- 30+ yrs
- In business, started in a garage
- $5M
- Annual revenue
- Multiple
- Rounds, over several years
- $800K
- Materials on a single job
01The business
The founder started the business in his garage. Thirty years later, his team builds custom architectural woodwork for universities and builders on projects all around the country.
Payroll runs about a million dollars a year, and he has never defaulted on a loan.
02The problem
Lumber and glass for a single job can run up to $800,000. He had to buy materials for upcoming projects while still paying the bills.
His bank took up a huge amount of his time. He'd taken two SBA loans, and both meant complicated forms, weeks of waiting, and a lender that would only talk to him, not his office manager.
“I don't know many businesses that can wait that long for a transaction if they need funding for a project.”
03What was at stake
Materials bought early can come at a discount. Funding that shows up late means the project waits, or payroll does.
“If I can secure the materials, I can possibly get a discount by paying early.”
Then came the big one: an entire building's worth of specialty doors for a major university, the first of several buildings. And the university doesn't pay deposits.
“You helped me bridge the gap, 'cause [the university] doesn't like to give deposits. It gives me more financial independence.”
04How the capital was structured
Working capital sized to each materials buy, repaid on a fixed schedule, and renewed as new jobs come in. We look at the long-term picture before recommending anything, and compare every option we can get.
His office manager pulls the documents together. He signs with DocuSign. Before UpCrunch, one funder kept debiting him for weeks after the balance was paid. Now the last payment is the last payment.
“It's always on the day, that's the last payment. It's not more.”
- Job wonA big order comes in, no deposit
- Materials boughtEarly, at a better price
- FundedSized to the materials buy
- Paid downFixed payments, 6 to 12 months
- Next jobHe calls when it's needed again
- Typical term
- 6 to 12 months
- Repayment
- Fixed schedule
- Relationship
- Multiple rounds, several years
05The outcome
Materials get secured for upcoming projects, and payroll and overhead stay covered. When it's a good fit, funding lands fast.
“All I have to do is sign the documents with DocuSign. It really doesn't take much time. It makes it so much easier to do business.”
“Go to UpCrunch, end of story.”
“If you're going to do something financial, you don't want to trust just anybody. Nobody's pushing me to do the loan. It's always my call. I really feel that UpCrunch works for me, the customer.”
The founder · 30+ year New England manufacturer“You're the only money guy I've ever borrowed money from where I actually believe you and I trust you.”
“You help take the stress off of companies financially so that they can do what they do best. Make money.”The founder · on a call with UpCrunch
Seven months of promises elsewhere. Then a deal that actually closed.
Candle Delirium runs the world's largest candle store, out of West Hollywood. Another lender strung Anthony along right into the holidays. We told him the truth about that deal, then put together one that funded, refinanced his higher-cost debt and paid for inventory and a new pop‑up.
“They're not just throwing money at you. They're explaining why we're doing it this way.”Anthony Carro, Founder, Candle Delirium
- 7 mo
- Strung along by another lender
- 16 yrs
- In business
- 1 plan
- Refinanced debt, inventory and a pop‑up