New Revolving Receivable-Based Facility Fills Critical Lending Gap for Mid-Market Companies

Strategic Insights -

1st Commercial Credit, LLC, a national leader in accounts receivable financing, trade payable finance, and invoice factoring, has launched its new Ledger Lines program, providing revolving credit facilities of up to $20 million, backed by receivables and tailored for high-growth businesses. The program allows businesses generating at least $3 million in monthly invoices to access up to 90% of receivable value as working capital. This innovative financing solution addresses the critical lending gap for mid-market companies facing limited ABL and bank loan options.

Key Takeaways:

  • The Ledger Lines program offers credit lines from $3 million to $20 million, with up to 90% advance on eligible receivables, and funding in as little as 3 weeks.
  • The program provides a seamless transition from high-cost loans and unscalable ABL products to receivables-based funding that grows with the business.
  • Companies must maintain up-to-date financials, demonstrate profitability, and have a Chief Financial Officer overseeing internal operations to qualify for the program.
  • A Deposit Account Control Agreement (DACA) is required to control receivable proceeds.
  • The program is designed for companies that are too big for traditional factoring but not well-served by bank lending or rigid ABL structures.
  • 1st Commercial Credit reports growing demand from investment bankers, restructuring advisors, and bank workout departments who are turning to the company to support clients with cash flow constraints, MCA obligations, or seasonal volatility.
  • The company's proprietary MyBizPad platform automates funding requests and real-time receivables tracking, ensuring operational efficiency and transparency for clients.
  • The program is backed by $200 million in receivables insurance coverage and is powered by technology, providing trade credit protection and reducing risk.
  • 1st Commercial Credit's $6 billion funding milestone is a testament to its commitment to providing scalable financing solutions for high-growth businesses.

Statistics:

  • $20 million: The maximum amount of credit available through the Ledger Lines program.
  • 90%: The maximum advance on eligible receivables provided by the program.
  • $3 million: The minimum monthly invoicing requirement for businesses to qualify for the program.
  • 3 weeks: The estimated timeframe for funding through the Ledger Lines program.
  • $200 million: The amount of receivables insurance coverage available through the program.
  • $6 billion: The funding milestone achieved by 1st Commercial Credit in 2024.

Sources:

  • 1st Commercial Credit, LLC, press release, May 23, 2025
  • 1st Commercial Credit, LLC, company website