For Immediate Release:
Securex Financial Corp (Securex), has recently established a specialized fund for the purpose of providing capital to alarm companies through a variety of innovative programs.
Securex’s funding programs will be of interest to those companies looking to grow their monitored account portfolios through internal marketing initiatives or acquisitions. Capital is also available to fund partner buy-outs, inventory purchases, short term financial needs or to establish a retirement savings plan.
Securex was founded in 1990. Since then, Securex has established itself as the leading provider of financing to independent companies in the security alarm industry.
Securex's financing options have been uniquely structured to achieve each company’s specific financial objectives and to ensure the Dealer maintains, and is fully responsible for, the relationship with their clients. Securex’s involvement with the Dealer is transparent to the customer and provides for a friction free relationship between the Dealer and their clients. The Dealer retains its business name, phone lines and web sites. The Dealer's business name is the only name the customer will be aware of and only the Dealer's representatives will have contact with the customer. This formula has enabled many leading companies to better manage their attrition and accelerate the growth of their client base.
Securex's transparency and absence from direct involvement with the dealer’s portfolio of accounts has been the cornerstone of our operating philosophy.
Our ability to move quickly and creatively to finance opportunities that present themselves to the aspiring company has been the cornerstone of our financial philosophy.
Our effecient team of industry professionals has the ability to move very rapidly through the finalization of the term sheet, due diligence and legal stages of a transaction. Closing often occurs within as little as 30 days from the first phone call to Securex’s office.
At various times Securex has been the largest shareholder or financier of some of Canada’s largest security alarm companies. These include companies such as VOXCOM, MICROTEC and FIRST NATIONAL ALARMCAP.
While these investments were multi-million dollar transactions, typical financings are in the range of $500,000 to $2,000,000.
"Securex was instrumental in providing me the financing to allow me to buyout my partner. Their program allowed me to retain my independence and grow my business through referrals from my customer base which would never have happened if I had sold my accounts into a national competitor's dealer program. The Supreme business name and phone numbers or communication of any kind was sent to the customer by Securex. They understood our needs and knew how to structure the transaction in a tax efficient manner. In the end a complicated transaction was completed in a timely manner."
"Securex allowed me to monetize the value of our business and the ongoing customer relationships. We have continued to grow the business with the help of my son who has joined the business. The typical sale process to a larger player would never have allowed this scenario to unfold."
"I required capital to grow my account base and fund some of our larger video installations. Securex's account Factoring Program allowed me to do this. Securex has also assisted me with financing for the acqusition of a smaller local dealer."
"I have turned to Securex on a number of occasions to obtain financing for my business on terms that worked well for my business. Recently their innovative Portfolio Royalty Program allowed me to regain control of my business and position it for growth and profitability. My business was established more than 40 years ago and I want to continue the legacy."
Royalty Funding Program:
Securex provides financing to security alarm companies in return for a royalty based on a percentage of the portfolio’s recurring monthly revenues. Funding multiples of up to 36 X RMR are available to qualifying companies. As with all our programs, you maintain the customer relationship and the goodwill that flows from those relationships. Our involvement is transparent to the customer and your business name is the only name the customer will see.
The main advantage of this program is that you are able to derive the cash proceeds normally associated with the sale of the business while being able to continue to grow your business and account portfolio. You retain the ability, at a later date of your choosing, to sell a much larger business and account portfolio at a much greater valuation. And its tax efficient when compared to to the typical acquisition which is fully taxable in the hands of the seller. THE RESULT: a vastly superior overall valuation than that which would have resulted through the a typical business sale to a national competitor.
Under this program the security company assigns payments of the recurring monthly revenues from the monitored accounts to Securex for a predetermined term, in return for financing based on a multiple of the RMR. The funding multiple will depend on the length of the assignment period and other factors.
This program would be desirable for a company looking to finance shorter term projects such as pursuing a particular growth initiative, an advertising/direct sales campaign, funding a large installation, a large purchase from a supplier or to otherwise consolidate debt.
Short Term Loans:
Short term loans are available for six to twelve months terms in amounts ranging from $25,000 to $100,000. The loans are secured by monitored accounts.