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Agrifact Capital, LLC

Receivables Factoring for Food, Produce and Agriculture Industry

Raised $7,260,000

14% Senior Secured Notes

  • Agrifact Capital, LLC (the “Company” or “Borrower”), a Delaware limited liability company, was organized to factor accounts receivable in the food, produce and agriculture industry (”Factoring”). The Company focused on the perishable agricultural market, which was generally underserved by conventional sources of financing.

  • The Company purchased Accounts Receivable on a non-recourse basis with full notification from produce growers, processors, importers and distributors, whereby the Company closely controlled the credit risk associated with providing its clients with working capital financing. This control was achieved via the Company’s direct underwriting of account debtors, credit insurance, accounts receivable verifications, and control of cash proceeds via a lockbox arrangement.

  • After clients were underwritten and approved by a credit committee, the clients were able to start selling invoices (of products sold to Debtors) to the Company. The Company typically advanced up to 78% of the invoice amount to the Client upon receipt (and optional validation with Debtor) of the invoice – the “Net Funds Employed” (NFE).

A single purpose entity, Agrifact Capital, LLC, issued $7,260,000 to factor accounts receivable in the food, produce and agriculture industry ("Factoring").

Securities sold by affiliate, Carolina Financial Securities, LLC.