Structured Startup - Example

Equipment: Medical Aesthetic Laser
Size: $118,000
Term: 48 Mos.
Structure: First + Last (with 75% Letter of Credit)
Hurdles to transaction:

Startup Business (< 3 years)
Retail business during recesion
High default rate in aesthetic services sector
No previous salon experience

Reasons for approval:.

Irrevocable letter of credit for 75% of equipment cost
Very strong PG - $3MM liquid assets and free & clear real estate
Strong outside income from investments

Summary:
Owner of this business previously owned and operated a nutrition company and sold it for a seven figure windfall. She has a very strong PFS and we structured this transaction to negate a majority of our exposure with a Letter of Credit.