Business
Advantex Signs Debt Financing Agreement to Grow Advance Purchase Marketing Program
ADX: TSX TORONTO, Dec. 18 /CNW/ - Advantex Marketing International Inc. (TSX: ADX), a leading spe...
About this update from Advantex Marketing International Inc.
[{"type":"text","content":"\n\n\n\nADX: TSX\n\n\nTORONTO, Dec. 18 /CNW/ - Advantex Marketing International Inc. (TSX:\nADX), a leading specialist in merchant funding and loyalty marketing programs,\ntoday announced that it has signed a three-year agreement that will provide\nfunding for the company to grow its very popular Advance Purchase Marketing\nprogram.\n\n\nUnder the agreement signed with Montcap Financial Corporation, Advantex\nwill be able to draw on at least $1.5 million for immediate deployment as cash\nadvances to merchants participating in the Advance Purchase Marketing Program.\nAdvantex also will have access to up to an additional $3.5 million as it\nexpands the program by offering participation to retailers across Canada.\nAdvantex estimates that there are about 100,000 retailers in Canada that would\nqualify for the program.\n\n\nAdvantex is the originator and leader of Advance Purchase Marketing in\nCanada. Under its Advance Purchase Marketing Program, operated with the Visa\ndivision of CIBC, Advantex purchases transaction credits from merchants on\nbehalf of Advantex's customers (premium CIBC Visa cardholders). Merchants are\nthus able to obtain cash in advance for working capital based on future sales.\nAs cardholders make purchases at participating merchants, Advantex collects\nthe funds from the transactions and the merchant's transaction credit balance\ndeclines.\n\n\n"This new funding will enable Advantex to respond to the backlog of\nmerchants who have applied to join our Advance Purchase Marketing Program,"\nsaid Kelly E. Ambrose, President and Chief Executive Officer. "Further, with\nthis financing in place and access to the additional funds, we will be able to\nmove ahead with our plans to rapidly grow the Advance Purchase Marketing\nProgram. We see this program as a tremendously exciting opportunity for\nprofitable growth for Advantex."\n\n\n"Advantex already has demonstrated the popularity of its innovative\nAdvance Purchase Marketing Program with a broad variety of merchants," said\nFred Moss, President of Montcap. "We are very pleased to be able to partner\nwith Advantex to help make it possible for them to offer the Advance Purchase\nMarketing Program to a rapidly growing number of businesses across Canada. We\nhope that this will be the beginning of a long, mutually beneficial\nrelation...