UFT Canada specializes in air filtering technologies across various industries such as electronics, safety supplies, military apparel, and medical gear. With over 500 patents, they lead the market in filtration innovation, serving clients like Polartec, Nike, and The North Face, with significant exports to Europe.
Founded with ambitious goals by Steven Lee, UFT faced typical startup challenges, particularly with cash flow management and securing adequate funding from traditional banks. The Business Development Bank of Canada recommended Jonathan Brindley and team for their expertise in supporting startups with cash flow acceleration through invoice factoring.
“The banks wanted to see at least two years of financial statements. Having products that were in high demand wasn’t enough and they wouldn’t touch us.”
– Steven Lee, CFO, UFT Canada
The team’s solution enabled UFT to receive payment for invoices within 48 hours, significantly faster than their usual 60-day terms. This timely cash flow allowed UFT to increase production, expedite material orders, and expand their client base even amid the pandemic.
Beyond financing, they supported UFT’s international growth by facilitating transactions with European clients, a unique capability among Canadian financing firms. Their tailored support included advice on supplier issues, material cost fluctuations, and the strategic move to a larger facility.
“They were easy to deal with, very personable and easy to get along with, to the point that we were friends in the end.”
– Angela Henley, Office Manager, UFT Canada
As a result of this partnership, UFT experienced rapid growth, expanding from three employees to a team of 22, with projected revenues of $5.7 million by 2022. They eventually secured a $1 million line of credit from a bank, crucial for sustaining their growth trajectory
without external equity investment.
Looking ahead, UFT plans to further expand internationally, potentially establishing manufacturing facilities in new markets to strengthen their supply chain.
“Capitally’s invoice factoring was essential for managing cash flow,” Steven remarked. “It enabled our rapid growth trajectory.”
UFT Canada’s journey underscores a unique success story in North America, driven by innovation and strategic financial support from Capitally’s financial solutions.
