How a Nimble Response Enables Continued Growth: A Case Study
A fourth generation family-owned business, Colonna Brothers, Inc. packages and distributes grated cheese, bread crumbs, spices and other specialty food items under its Colonna brand name and under private label brands. Veritas Financial Partners had provided a $7.5 million credit facility in August 2017 in support of Colonna Brothers’ future growth as they sought to capitalize on new opportunities. Soon after, the expanding growth of key product lines resulted in increased inventory purchases which further constrained their working capital.
Veritas added a new incremental inventory line into Colonna’s credit facility, allowing the company to borrow against both raw materials and finished goods which had absorbed much of their working capital.
Colonna is well-positioned for success and is anticipating an increase in their spice business. With an increased credit line, they will continue to be a leading distributor to national grocery retailers in the Northeastern U.S.
About Veritas Financial Partners
Veritas Financial Partners is a specialty finance firm that provides $2 – $20 million senior secured credit solutions to businesses across various industries. Veritas serves entrepreneurs, management teams and private equity sponsors by delivering the flexible, responsive capital needed to achieve their goals. As an affiliate of an investment fund with $2.5 billion in assets under management, Veritas benefits from a substantial long-term capital base.