Successful Record Leads to New Funding

The Situation

Allison Reed Group, Inc. (ARG), an East Providence-based jewelry manufacturer and distributor that sells to independent retail jewelers and large volume buyers was looking for additional funding to provide working capital to support growth.

About the Opportunity

Despite being well established, ARG faced stiff competition in an industry that is becoming more competitive every year.

Recognizing that it had to streamline operations and better align itself with prevailing industry conditions, ARG upgraded its computer capabilities and strengthened its sales force.

To make the plan work, ARG needed additional financing.

Why the BDCRI Got Involved

The BDCRI gave the green light to a three-year $400,000 line of credit, because:

1. The company demonstrated with the previous BDCRI loan that it could execute a plan.
2. Larry Cohen, president of the company, had run the 100-person operation for many years and knew the industry as well as anyone.
3. The founders, Barry and Pauline Cohen, had agreed to remain actively involved in ARG and provide critical expertise.