Strategic Capital Fuels Transformative Acquisition and Expansion in Premier Pet Care Facility
Introduction
Catalyzing growth through strategic investment. Positioned strategically within a growing residential community, a prominent pet boarding, grooming, and training facility faced significant operational and strategic hurdles due to aging ownership and passive management practices. Recognizing the vast untapped potential, new ownership leveraged a structured SBA 7(a) financing package to complete a successful acquisition, transform operational capabilities, broaden the service portfolio, and reinforce the facility’s leadership in its competitive regional market and beyond.
Challenge
Transforming challenges into market opportunities. Despite consistent annual revenues surpassing $500,000 and serving an extensive client base exceeding 7,000 active customers, the facility encountered multiple growth-inhibiting obstacles:
- Passive management style impeding proactive expansion
- Extensive yet underutilized property assets limiting revenue potential
- Heightening local competition intensifying market pressure
- Lack of strategic investment in grooming and training services despite escalating industry demand
- Aging infrastructure necessitating modernization to meet contemporary standards
Solution
Strategic financial planning driving operational excellence. Cornovus Capital structured an SBA 7(a) financing solution meticulously tailored to support the acquisition and subsequent strategic growth initiatives:
- Loan Amount: $858,870, facilitating seamless acquisition and immediate reinvestment
- Loan Structure: 25-year amortization, competitive floating rate linked to WSJ Prime Rate
- Equity Contribution: New ownership contributed a 10% equity stake, demonstrating commitment and alignment
- Collateral: Comprehensive security including real estate, business assets, and personal guarantees
Upon acquisition completion, new ownership swiftly implemented strategic initiatives:
- Expanded grooming and comprehensive training services to meet increasing customer demand
- Modernized operational processes to enhance overall efficiency
- Leveraged previously idle onsite residential spaces to generate additional revenue streams through leasing
- Enhanced digital marketing and branding strategies to solidify market presence and attract new clientele
Results
Financing success enabling market leadership. The deployment of strategic SBA financing and subsequent operational enhancements produced immediate and sustained outcomes:
- Achieved substantial monthly revenue growth driven by expanded services
- Enhanced regional brand visibility, strengthening client loyalty and market appeal
- Significantly increased profitability resulting from streamlined operational processes and optimized staffing
- Generated a sustainable passive revenue stream through strategic leasing of residential spaces
- Improved infrastructure fostering customer satisfaction and operational reliability
This targeted financing strategy established a robust foundation for enduring growth, operational excellence, and enhanced competitive positioning within the dynamic pet care market.
About Cornovus Capital
With over 60 years of combined experience, Cornovus Capital is a trusted financial partner specializing in business financing, commercial real estate lending, and hospitality funding solutions. We design customized capital strategies that help businesses acquire, expand, and optimize operations, ensuring long-term growth and financial stability.
Our expertise spans SBA 7(a) and 504 loans, CMBS and LifeCo financing, private capital solutions, and structured debt strategies. By focusing on certainty of execution and closing assurance, we guide businesses and investors through complex financial landscapes, securing funding tailored to their long-term objectives.
Why Partner with Cornovus Capital?
At Cornovus Capital, we understand that complex transactions require sophisticated financing solutions. Whether you’re acquiring a business, buying out a partner, expanding operations, or combining real estate into a growth plan—we deliver capital strategies designed for certainty and efficiency.
What Sets Us Apart?
• Advisory expertise across business stages and sectors: We structure financing for acquisitions, expansions, partner buyouts, and practice ownership transitions.
• Innovative capital structuring: We integrate seller notes, working capital, CapEx, and goodwill financing into efficient, customized capital stacks.
• Lender alignment and competitive terms: We match each transaction with lenders who understand your industry—ensuring smooth approvals and favorable terms.
• End-to-end execution and advisory support: From deal modeling and loan packaging to lender communication and closing, we manage the entire process to ensure successful outcomes.
For business owners, professionals, and entrepreneurs seeking flexible SBA financing, Cornovus Capital delivers strategic insight, execution certainty, and long-term support.
Contact Cornovus Capital
At Cornovus Capital, we simplify the financing process with tailored solutions, competitive loan terms, and expert advice. Whether you’re acquiring, refinancing, or developing a property, we’re here to help you succeed.
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📞 513-653-4246
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