Flexible Funding receives approval of bid procedures for all assets

By Sarah Lizee

Olympia, Wash., Oct. 18 – Flexible Funding, LLC secured court approval of the bid procedures for substantially all of its assets, according to an order filed Friday with the U.S. Bankruptcy Court for the Northern District of Texas.

The company said it has engaged in negotiations with eCapital Corp. for the purchase of the assets, which resulted in the parties signing a letter of intent on Sept. 29. A purchase price was not disclosed in the bid procedures motion.

The letter of intent is subject to higher and better offers and includes a $300,000 breakup fee and a $300,000 expense reimbursement.

Qualifying bids must include an initial overbid of at least $1 million and a good-faith deposit of at least $4.5 million.

Bids will be due on Nov. 2, and an auction will take place on Nov. 5. A sale hearing is scheduled for Nov. 8.

The Fort Worth-based asset-based lending and factoring company is primarily focused on the staffing and transportation industries. The company filed bankruptcy on Sept. 19 under Chapter 11 case number 21-42215.

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