Industrial Scales Manufacturer

Phoenix assumes role of CFO and successfully refinances a manufacturer of industrial scales.

The Client

The Company was a $60 million manufacturer of a wide range of Industrial Scales based in Kansas City, MO.

The Challenge

Due to a competitive, price-sensitive marketplace, the Company’s profit margins were beginning to erode. Rising costs in manufacturing and distribution also contributed to reductions in profit. These issues, coupled with an “out-of-formula” asset-based credit facility, were leading to an impending liquidity crisis.

The Solution

Phoenix assisted the Company’s management as they consolidated distribution, streamlined manufacturing, and restructured sales commissions. Phoenix also assumed the role of CFO and assisted management with eliminating more than $5 million in costs. As the situation stabilized, Phoenix successfully refinanced the Company’s credit facilities with a lender that was able to support the Company’s liquidity needs. As a result of Phoenix’s efforts, the Company stabilized and its business returned to profitability.

Phoenix Capital

Primary Industry

  • Manufacturing

Secondary Industry

  • Measurement and Instrumentation

    Primary Services

  • Interim ManagementRefinancingProfit / Operational Improvement