Frontier Manufacturing Working Capital Growth

Nevada manufacturer secured $175K working capital loan to optimize inventory and accelerate production, increasing revenue by 42% within 18 months.

David Xavier, Chief Operating Officer of Frontier Manufacturing Solutions a manufacturing business in Nevada standing with a composed expression

Executive Summary

Frontier Manufacturing Solutions, a Henderson-based precision metal fabrication company, faced rapid growth constraints due to insufficient working capital. The company secured a $175,000 working capital loan to bridge inventory gaps and fund operational expansion, resulting in substantial revenue growth and market position strengthening.

The Challenge

Inability to purchase raw materials in bulk, missing volume discounts and delaying production timelines
Cash flow bottleneck preventing the company from accepting larger contracts requiring extended payment terms
Insufficient funds to hire additional skilled machinists and production staff needed to meet growing demand

The Solution

Frontier Manufacturing Solutions strategically deployed the $175,000 working capital loan to address critical operational constraints. The company allocated 45% of funds toward raw material inventory optimization, enabling bulk purchasing from suppliers and reducing per-unit costs by 18%. This inventory strategy shortened production cycles and improved delivery times, making the company more competitive for large contracts.

The remaining capital was invested in hiring three additional CNC machinists and a production supervisor, expanding operational capacity by 35%. With improved cash flow, the company could accept contracts with 60-day payment terms from Fortune 500 aerospace suppliers—a significant market segment previously inaccessible. The working capital loan provided the financial stability needed to operate at higher production volumes while maintaining quality standards and customer satisfaction.

"This working capital injection allowed us to capture larger contracts we previously couldn't fulfill due to cash flow constraints. Within 18 months, we doubled our production capacity and expanded our team significantly."
David Xavier, Chief Operating Officer

The Outcome

Revenue increased 42% year-over-year, growing from $2.3M to $3.26M annually
Production efficiency improved by 28% through streamlined inventory management and expanded staffing
Customer base expanded by 12 new enterprise clients, including three Tier-1 aerospace contractors

Conclusion

The $175,000 working capital loan proved transformative for Frontier Manufacturing Solutions, enabling the company to scale operations efficiently while maintaining profitability. The strategic deployment of capital across inventory and human resources created a sustainable growth foundation.

Looking Forward

Frontier Manufacturing is now planning a facility expansion in Q4 to accommodate projected 35% growth over the next two years. The company is exploring refinancing options to support a secondary equipment investment, positioning itself as a leading precision manufacturer in the Southwest region.