You might recall when we first reported on IceCap’s problems over a month ago which created quite a stir within the industry. We have now learned that IceCap seems to be reshuffling their finances and moving their headquarters. A recent email was sent out to their valued customers that a firm called Millennium Funding has taken over the company. But not the whole company, Millennium Funding is factoring company. Factoring is a “financial transaction whereby a business sells its accounts receivable (i.e., invoices) to a third party (called a factor) at a discount in exchange for immediate money with which to finance continued business.” It is important to note that factoring isn’t a loan, it is the purchase of a financial asset (the receivable).
However, reshuffling their finances like this isn’t the only thing happening. They have hired a new CEO and are moving their headquarters down south. Apparently, the new CEO didn’t want to move up north, so the owner of IceCap stated they wouldn’t mind moving the company down south. The new CEO states that the “game plan is to move this business south as fast as possible – cheaper labor, lower taxes, plus after 25 years in Charleston – this is my home. It will probably take 4 or 5 months to bring it all together. The deal was I wanted to be a part-time CFO and travel back and forth – the owner wanted me to be his new CEO. I said, my son dosen’t want to move north, I have a 16 year old daughter, and a 96 year old grandmother that will die this year or very soon. I refused the job and he circled back around and said, move the company south. It will take some time so we will have some time to visit – plus maybe I will get you down south to visit.”
Check down below for the IceCap email that was sent to all of their customers. Chuck Troiani, will be the new IceCap CEO. Welcome to the reef industry Chuck. We’re Reef Builders, nice to meet you.
I wanted to share with you the IceCap, Inc. vision for the future. IceCap, Inc. has been in business for 20 years in the Aquarium and Commercial Lighting markets and it is our intent to be around for another 20 years. Given the current business dynamic IceCap has decided to develop a strategic partnership to leverage our position to service and provide product to our valued customers. To accomplish this we have partnered with Millennium Funding to factor our accounts receivables. This process will ensure IceCap is capitalized with working capital to meet our customer inventory and service needs. This alignment is all part of our strategic plan to position IceCap for the future.
At IceCap we are pleased with the strong customer loyalty and support during these challenging economic times. Our customers have spoken and the IceCap product with its designed functional utility and pleasing ambiance is the product of choice. I ask for your cooperation and support when interfacing with Millennium Funding knowing this partnership will benefit IceCap, which in the end will benefit you through better products and services. Thank you!