Cordes & Company

After assessment, milk producer secures credit for new facility

An Idaho commercial milk producer saw a need for a facility capable of creating a highly refined powdered milk product, to supply large U.S. food producers. The company requested an operating line of credit for a new milk processing plant, to finance start-up operating deficits, inventory and receivables.  Owners projected $200 million in annual revenue for the new plant.  The lender retained Cordes & Company to perform a viability assessment – to review and analyze the financial operations, cash flow forecasts and other strategic information regarding the debtor and its guarantors.  We visited the plant and dairies, interviewed management and the guarantors, and worked with management to develop an understanding of how they had arrived at their financial projections.  We used this information and a review of the overall business strategy to provide the lender with our viability report.  As a result, the milk producer was able to build the new facility.

California
2030 Main Street
Suite 1600
Irvine, CA 92614
Telephone: 949.379.1202
Colorado
5299 DTC Boulevard
Suite 815
Greenwood Village, CO 80111
Telephone: 303.721.8755
Minnesota
220 South 6th Street
Suite 2125
Minneapolis, MN 55402
Telephone: 612.455.6027
© CORDES & COMPANY