Case Study – Mining
Kalgoorlie crane firm’s growth using debtor
finance
One example of a firm that used factoring and discounting
to cope with its need to expand to catch the resources
boom is Kalgoorlie headquartered Goldfields Crane Hire.
When Managing Director Rick Musarra saw his business
leap 300 per cent in 12 months he realised the need for
a strong financial resource to cope.
More demand for his services meant more need for cranes – with
resultant demand for capital expenditure and the potential
to outstrip cash flow. He turned to factoring and discounting
as a user-friendly financial solution and in two years
his business expanded with turnover increasing fivefold.
“The use of factoring and discounting enabled
us to carry through the turbulent period of extremely
rapid growth without financial pain or risk until we
reached stable turnover levels at a vastly higher plateau.
This enabled us both to expand and keep our financial
feet firmly on the ground,” Mr Musarra said.
Mr Musarra, who started his company a decade ago with
a single crane, now services the Goldfields with an extensive
fleet of cranes and with company regional bases in Kambalda,
Laverton and Ravensthorpe.
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