Desert Bloom Jewelers
How one retailer cleared the way to buy bigger
A growing retailer wanted to walk into trade show season ready to buy in bulk, but an existing loan was tying up cash flow. National cleared it, so they could buy for less and say yes to vendors.
“National handled the loan and put real cash in our hands. We walked into the shows ready to say yes.” – Frank, Owner, Desert Bloom Jewelers
The Client
Father and son Frank and Tyler have run Desert Bloom Jewelers since 2004, growing it into a jewelry and clothing retailer across New Mexico, Texas, and Colorado. In the last two years they’ve added Sagebrush Ranch, a Texas-based brand that now has several locations.
The Situation
Trade show season was the opportunity. Shows mean new vendors and the chance to buy inventory in bulk at a lower cost, but those deals go to the buyers who show up ready to commit. The owners knew what that was worth. They needed the cash flow to match it.
The Challenge
Getting there meant working around a preexisting loan on its Sagebrush Ranch entity, repaid as a percentage of daily sales. As sales climbed, so did the draw, so the cash needed for bulk buying was leaving the business before it could build up. That made it hard to plan inventory or know what they could commit to at a show.
A lender looking at that file alone would have seen a business with its hands full, not one with a season of bulk-buying opportunities ahead. It’s a common spot for a growing retailer to be in, and the kind of deal that stalls when the structure doesn’t fit.
An investment banking referral partner brought the deal to National, trusting us to move fast and treat his client right.
Desert’s dedicated Business Finance Advisor at National, Matthew, took it from there.
He saw a business with real momentum and built the structure in two steps:
- A $1M Term Loan to pay off the existing loan and free up cash flow
- A $2M Balance Sheet Flexline opened right after, with $750K drawn in time to buy at the trade shows
Why This Was Different
Sequence mattered more than size. The Term Loan came first, replacing the percentage-of-sales draw with a fixed, predictable payment. Clearing it opened the door to the Flexline, and the business drew only what it needed for the shows.
The Term Loan steadied the floor, so the business could build its own momentum instead of watching its best sales days go to the draw.
Why National Business Capital
A deal this size takes a lender with the experience to structure it and the capacity to fund it. National looked at the full shape of the business, not just the debt on its books, and built around where it was headed.
Today, Desert Bloom Jewelers is buying reduced-cost inventory from new vendors, with predictable cash flow and a line ready for its next buy.
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