Lawn Depot Inc

Lawn Depot Inc, is a producer of lawn mower for domestic and institutional use, founded in the South of the United States, in 1986 and since then has experienced a fast growth in sales with profits in all years since 1988 To date it has a production capacity equivalent to a volume of US $ 25 million per year.

More than two thirds of annual sales occur in the first six months of the year, while production remains stable throughout the year. It has financed its expansion through a line of credit with a local bank and with a mortgage loan to an insurance company.

Normally the loans are given in early January and are paid in mid-July. However, for 1996 there was a delay in the cancellation of the loan, immediately followed by an application for additional credit, with a balance of US $ 1,620,000. At the end of 1996, negotiations began for the purchase of new equipment at a cost of US $ 400,000, to be installed in March 1997.

It is known as a nationwide retailer of lawn and garden supplies and equipment. They operate a chain of 380 retail stores and sell all types of lawn and garden supplies and equipment. The company carries a large number of inventories of supplies and equipment/ machines to meet the needs of the customers. They are looking for solutions on to eliminate the problems in Lawn Depot’s operation. Met numerous security analysts and investment bankers to find out about investor prospect for the firm They made an analysis new procedures effect.

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