Avatech Solutions, one of the largest Autodesk resellers and a leading CAD solutions integrator, today announced that it entered into a new $5 million line of credit with Mercantile Bank & Trust Company of Baltimore. Avatech immediately used a portion of the new credit line to pay off an existing debt.
Avatech suffered through the recent downturn along with everybody else, but had a very healthy 2005. The company is recruiting to fill several new positions, and is generally bullish about the future of the AEC and manufacturing design customers it servers. For its fiscal year ended June 30, 2005, Avatech reported revenues of $34.1 million compared with $22.5 million in fiscal year 2003. That growth continued through the most recently reported quarter as the company's revenues for the three months ended September 30, 2005 increased approximately 37% over the same period in 2004.
“This new financing arrangement is an important piece of our plans for the future,” said Scott Walsh, CEO of Avatech Solutions. “Avatech continues to grow at a very healthy rate and we are pleased to be doing business with a larger financial institution that can provide us with greater access to capital and a full range of financial services to support our future needs. Our current lender has served us well, but we need new levels of support for our growth requirements.”
--RSN