ABL Sector Must Stay Vigilant Amid ‘Growth of Shrink’
By: Bill Mayer
In what might be thought of as “the growth of shrink,” American retailers are pointing to shoplifting, organized retail crime and employee theft as significant drags on their profitability. The big-box discounter Target, for one, said its profits could take a $500 million hit from shrink this year alone. Notably, in a recent CNBC appearance, […]
What Asset-Based Lending Can Learn from AI in the Grocery Sector
By: Bradley W. Snyder
OpenAI’s bombshell release of ChatGPT underscores two realities that ought to be top-of-mind for asset-based lenders everywhere.
The first is that artificial intelligence—essentially, machines that sift through vast quantities of data to identify patterns and tell themselves what to do—will play a bigger role in borrower health. The second is that ABLs need […]
Taking Stock of Retail’s Reversal of Fortune
By: Michael McGrail
Those who run retail liquidations have had to continually shoot down a popular misconception over the past couple of years that “you must be incredibly busy right now.”
The mistaken assumption is based on the thinking that retail bankruptcies have exploded since COVID-19 as things were terrible during the lockdowns and now everyone shops online. However, the true […]
The Art and Science of Loaning Against Trademarks
By: Eric Gul
Trademarks are one of the fastest-growing collateral categories in the ABL sector—due in no small part to the ease with which owners of properly supported brands can sell their products via multiple channels, including e-commerce, m-commerce, wholesale distribution, and retail stores. On the consumer side, younger generations are driving much of the e-commerce and m-commerce demand. […]
Tiger’s Appraisal Chief Sees Prime ABL Opportunities at Amazon FBA
By: ABL Advisor Staff Writer
Wholesale and retail inventories have always been a mainstay for lenders, but with millions of businesses now selling their wares on Amazon, what are the potential implications for the ABL sector?
ABL Advisor sat down with Ryan Davis, Managing Director of Tiger Valuation Services, to discuss some of the considerations involved in lending to Amazon sellers. “Inventory quality […]
Does the Current ‘Logistics Nightmare’ Have a Surprising Upside?
By: Ryan Davis
Could today’s global supply chain disruption contain some good news for asset-based lenders? That may seem like a counterintuitive question given that the current inventory crunch — supplies have dropped to levels not seen since just after the Great Recession — has led many borrowers to massively downsize their ABL lines. In addition, many of […]
By: Michael McGrail
With 21 major retailers filing for bankruptcy protection, 2017 went down as the busiest year for filings since The Great Recession. Working alone or with partners, our firm ran liquidation sales for Gander Mountain, Gordmans, RadioShack, MC Sports, Vanity, Sears Canada and hhgregg, to name a few. We also entered into multiple private deals involving undisclosed retailers, virtually all of which were household […]
By Andy Babcock and Ryan Davis
The metamorphosis of Amazon from a bookseller to one of the largest retailers on the planet has permanently changed the business landscape. Yet ABL lenders have hesitated to lend against inventory held at Amazon’s warehouses. Tiger Capital’s Andy Babcock and Ryan Davis assuage lenders’ fears. They explain how the Fulfillment by Amazon program benefits sellers and creates a seamless, profitable […]
At first glance, it might seem that national sporting goods chains should have the wind at their backs: U.S. personal income is expected to rise or hold through 2017, and researchers at Morgan Stanley cite dramatic growth in sports participation in North America, particularly among young people. According to IBIS World, in fact, the compound annual growth rate of the retail sporting goods market will […]
Apparel retailers targeting tweens and teens are taking a big hit. While we have already seen filings from the likes of Cache, Wet Seal, dELiA*s and Deb Shops, this is likely just the beginning of a larger trend. Amid dwindling sales at many (but not quite all) tween and teen-focused chains, the sector is positioned for further consolidation and additional filings.
In the heyday of the […]
