subject: Former Allied Client's Success Story [print this page] As a small business owner back in the early 2000's of Wirenix, Inc., my company's products included high dollar telecommunication speech recognition equipment that resides in the service provider's network and engineering services. Receiving orders, then delivering, required large amounts of capital as we had to procure computers, software, telecommunications gear, deliver the equipment to the customer's central office, and perform integration/tests on site for final acceptance. This process could take upwards of 60-90 days. During this time, our vendors required net 30 days payment, but we still had to pay salaries and travel expenses.
The dichotomy in running a small business is you need capital to provide growth, yet it is difficult to obtain capital from lenders. In today's environment with the financial meltdown, securing loans is especially difficult, making it even more challenging.
Fortunately, my company was introduced to Allied Affiliated Funding (formerly Allied Capital Partners). Allied provided the breath of fresh air we needed and eliminated one of the major roadblocks in pursuing multi-million dollar deals. With the funding provided by Allied, we knew we had capital to back up our delivery promises to our customers.
Given our past track record and through building a relationship with Allied, we were able to establish a factoring partner for our purchase orders. We did deliver in the 60-90 day window, received payments from customers, and Allied continued to provide factoring services for three years as we continued to grow and succeed.
One of the lessons learned in growing a business is to deliver on your commitments, both to your customers and to your lenders. This builds trust and opens doors to many more opportunities, not only in additional revenue, but increased capital as well.
