Financing

Hinge fielded an experienced, cohesive team that understood our start-up's thesis and was able to clearly articulate our story to potential investors. Above all, we appreciated their honest advice and straightforward approach.

Background

A mom-turned-entrepreneur launched an innovative children's apparel and accessories company out of her home. Working with friends and family, the Company quickly became overwhelmed with the capital needs of a rapidly growing business and struggled with the best way to interact with outside investors.

Project

The Hinge team met with the founding team to analyze the Company's history of performance, its existing operations and the plan to capitalize on its recent success. A detailed model was constructed to prioritize near-term cash flow and to model go-forward growth financing alternatives. With a specific emphasis on maximizing value for the founding team and finding the right partner, Hinge crafted bespoke marketing materials that highlighted the Company's history of growth and the merits of the Company's go-forward plan.

Client

Children’s Accessories Start-Up • Start-up Phase

Goals

  • Determine near-term cash flow priorities and longer-term capital needs
  • Analyze appropriate growth financing alternatives
  • Construct financial projection model
  • Create investor marketing materials

Approach

  • Meet with founding team to understand growth priorities
  • Diligence existing business plan
  • Model existing business operations and construct operating model consistent with business plan
  • Assess capital needs and historical performance
  • Create investor meeting materials for initial capital raise

Results

  • Clearly identified near and intermediate-term capital needs and created materials to communicate with potential investors
  • Created operating model to analyze monthly cash flows and working capital

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