Purchase Order Financing Site Highlighted in Entrepreneur Magazine

Shaw Capital Management and Financing - Financing professional Dan Casey’s PurchaseOrderFinancing.com has been cited as an example of a lending option for small businesses.

Shaw Capital Management and Financing sharing information, tips and advice on factoring and accounts receivable financing and factoring to avoid scams and other fraudulent transactions. Information focus on the importance of choosing the right firm and understanding the intricacies of this financing alternative and what pitfalls to avoid.

The February 2010 issue of Entrepreneur magazine has singled out PO finance leader PurchaseOrderFinancing.com as an example of one of several commercial financing options available to small businesses short on cash or credit. Feature article “What To Do When the Bank Pulls Your Line of Credit” lists a number of options – including community banks, credit unions, and other alternative sources – with examples of specific providers of each. (Article page 42, company citation page 47.)

“We’re delighted that a prestigious publication like Entrepreneur has mentioned our company as a go-to source for our kind of commercial financing,” says company founder and CEO Dan Casey. “It’s an honor.”

Dan’s company provides businesses with the additional working capital they need to take advantage of large-order sales opportunities. Purchase order financing enables such transactions by leveraging the finances of the client's potential customer, not those of the client itself.

Casey explains, "What our clients all have in common is the ability to demonstrate a business opportunity with the promise of profit. We base our approval on that profit potential - not on the current balance sheet. How it works is we open a Letter of Credit to pay the suppliers, so our clients can take on the job without having the capital themselves." He goes on to state that his company can secure up to 100% financing of up to $25 million, usually within 7 to 14 days. The site features a broad range of topic pages to help businesses unfamiliar with PO financing such as:

Purchase Order Financing Blog - News and updates from the PO financing industry

What is Purchase Order Financing - General overview of the PO funding process

Apparel PO Financing - Detailed overview of funding options for the apparel and garment industries

Government PO Financing - Information on the online government contract marketplace and the available options for funding

When business owners encounter their "biggest-ever" sales opportunity, many unnecessarily pass it up for lack of working capital. PO financing is a tool that connects businesses with the money they need to make their big opportunity a reality. "Say you get a large purchase order from a good customer,” offers Dan Casey. “We can open a Letter of Credit to pay your supplier, so you can take on the job without having the capital yourself. Everybody wins."

Although the website was launched in January, 2009, the company behind it has been finding creative financial solutions for clients since 2002. Manufacturers, wholesalers, distributors, importers and exporters are among the kinds of businesses that may consider purchase order financing. The process can not only facilitate the immediate business opportunity at hand, but often may also result in the promotion of the client's business to a significantly higher competitive category.

The Entrepreneur article does caution that businesses that take a long time to have their goods manufactured face higher costs for purchase order financing; the shorter the turnaround the better.

Dan Casey has owned and managed businesses in finance, consulting, manufacturing, advertising, technology and other industries throughout his career. "PO financing is a new concept to some people, but it’s easier to use than you might think,” notes Casey,” Every case is different, but the process always starts the same way - with a conversation about the profit potential that a specific business opportunity promises."

PurchaseOrderFinancing.com serves as the link between small businesses and the working capital they need to seize an atypically large business opportunity. This website is the newest addition to the structured finance firm founded by Dan Casey in 2002 which develops and implements creative financial strategies for commercial clients with working capital challenges. Dan Casey, Founder and CEO. A graduate of DePaul University in Finance, Dan has orchestrated an extraordinary career in starting and building businesses.

Shaw Acquires Coastal Planning & Engineering, Inc.

Acquisition Expands Company's Water Resources and Ports and Harbors Expertise

BATON ROUGE, La., Mar 08, 2011 (BUSINESS WIRE) -- The Shaw Group Inc. (NYSE: SHAW) today announced it has acquired Coastal Planning & Engineering Inc. (CPE), a leader in coastal engineering and restoration, in an all-cash transaction valued at approximately $26 million.

Based in Boca Raton, Fla., CPE's full range of services includes coastal modeling, oceanographic measurements, marine biology, geotechnical surveys, hydrographic surveys and marine geology. CPE's 27-year history of coastal projects includes beach nourishment and island restoration following hurricanes and other erosion, offshore sand inventory and ship maneuvering studies for new and existing ports.

The company has worked with Shaw on multiple coastal engineering projects, including the most recent sand berm project for the state of Louisiana. Additionally, this acquisition includes a presence in Brazil for Shaw, which can accommodate the country's needed coastal restoration, port redevelopment and expansion, as well as oil and gas development.

"The acquisition of Coastal Planning & Engineering positions Shaw as a clear leader in coastal restoration services," said George Bevan, president of Shaw's Environmental & Infrastructure Group. "Our existing project management capabilities and ports and harbors expertise, now combined with CPE's coastal engineering services, allow Shaw to capitalize on multiple opportunities, including restoration of the Gulf Coast, port expansions and offshore energy support globally."

Shaw's own coastal experience includes strategic planning, design, construction and project monitoring in various coastal terrains, including Louisiana and Florida. Currently, Shaw is leading the largest design-build civil works project ever awarded by the U.S. Army Corps of Engineers, the Inner Harbor Navigation Canal Surge Barrier in New Orleans. The massive barrier is a key component in the Corps' Hurricane and Storm Damage Risk Reduction System, which is intended to provide 100-year storm-surge protection for the greater New Orleans area when completed. Shaw also provided expertise in response to the Deepwater Horizon oil spill with the creation of sand berms off the coast of Louisiana, the largest coastal sand barrier project in U.S. history.

The transaction, which is subject to post-closing adjustments, was completed in Shaw's third quarter of fiscal year 2011.

The Shaw Group Inc. (NYSE: SHAW) is a leading global provider of engineering, construction, technology, fabrication, remediation and support services for clients in the energy, chemicals, environmental, infrastructure and emergency response industries. A Fortune 500 company with fiscal year 2010 annual revenues of $7 billion, Shaw has approximately 27,000 employees around the world and is the power sector industry leader according to Engineering News-Record's list of Top 500 Design Firms. For more information, please visit Shaw's website at www.shawgrp.com.

This press release contains forward-looking statements and information about our current and future prospects, operations and financial results, which are based on currently available information. Actual future results and financial performance could vary significantly from those anticipated in such statements.

Among the factors that could cause future events or transactions to differ from those we expect are those risks discussed in our Annual Report on Form 10-K for the fiscal year ended August 31, 2010, our Quarterly Reports on Form 10-Q for the quarters ended February 28, 2010, May 31, 2010 and November 30, 2010, and other reports filed with the Securities and Exchange Commission (SEC). Please read our "Risk Factors" and other cautionary statements contained in these filings. Our current expectations may not be realized as a result of, among other things:

•             Changes in our clients' financial conditions, including their capital spending;

•             Our ability to obtain new contracts and meet our performance obligations;

•             Client contract cancellations or modifications to contract scope;

•             Worsening global economic conditions;

•             Changes to the regulatory environment;

•             Litigation or arbitration decisions;

•             Failure to achieve projected backlog.

As a result of these risks and others, actual results could vary significantly from those anticipated in this presentation, and our financial condition and results of operations could be materially adversely affected. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, the occurrence of certain events or otherwise.

SOURCE: The Shaw Group Inc.

Media and Financial Contact:

The Shaw Group Inc.

Gentry Brann, 225-987-7372

gentry.brann@shawgrp.com

Foreign Exchange Markets 2010: Shaw Capital Management

The main feature of the foreign exchange markets over the past month has been the further sharp fall in the euro. There has been no real change in the background economic situation in the euro-zone; but there has been a serious deterioration in the financial background as doubts have increased about the ability of Greece and some other periphery countries to cope with their massive fiscal deficits and service their sovereign debts.

Foreign Exchange Markets 2010: Shaw Capital Management Korea: This is clearly leading to a withdrawal of international funds from the European capital markets, and is dramatically illustrated in the widening of yield spreads in the bond markets of member countries. There is still a general assumption that the stronger members will provide support for the weaker members if this proves to be necessary to prevent a default on sovereign debts.

But the uncertainties have been increased by conflicting statements from the European Central Bank and some politicians about the willingness to undertake such operations, and so investors and speculators have taken evasive action, and the euro has fallen by around 10% from its peak in early-December.

This fall has provided support for the other major world currencies, including the dollar; but the background situations in Japan, and in the UK, also provide reasons for concern, and so the currency markets remain in a very uncertain state.

Foreign Exchange Markets 2010: Shaw Capital Management - It is likely that the uncertainty will continue. The US economy is clearly recovering from recession; economic conditions in Japan are very weak, and Japan appears to face the possibility of a credit downgrade if it does not take steps to reduce its massive fiscal deficit; and there have already been warnings from Standard and Poor’s that the UK also faces the possibility of a credit downgrade if there are no convincing measures to reduce its huge fiscal deficit after the forthcoming general election. Prospects are therefore very difficult to assess; but our tentative conclusion is that the dollar will continue to “improve”, helped to a considerable extent by weaknesses elsewhere; and that this will allow market pressures to gradually subside as the global economic recovery continues through the year.

But the possibility of a major currency crisis cannot be ignored, especially if the debt problems in Greece and other periphery countries threaten to lead to the break-up of the single currency system in Europe. It is fortunate therefore that the available evidence on the performance of the US economy is more encouraging. Non-farm payrolls fell again in December by 85,000, but are expected to have increased in January; retail sales held up well in the pre-Christmas period; manufacturing output is improving, according to the latest report from the Institute of Supply Management; and even the housing market appears to be recovering.

This general situation is reflected in the first preliminary estimate from the Commerce Department of growth at a seasonally adjusted annualised rate of 5.7% in the final quarter of last year, a higher figure than the market had been expecting. Most economists therefore appear to be forecasting overall growth this year in the 2.5% to 3% range, after the estimated fall of 2.4% last year.

Foreign Exchange Markets 2010: Shaw Capital Management - The Fed is clearly in no hurry to tighten its present monetary stance. The statement after the latest meeting of its Open Market Committee was more upbeat about the prospects for the economy; but shortterm interest rates were left unchanged and close to zero, and there was a clear indication that they would remain at very low levels “for an extended period”.

The bank did state that it will discontinue most of its emergency lending programmes, and that it would end its purchases of mortgage securities in March; but there was no indication that it would be prepared to implement an “exit strategy” until there was convincing evidence of a sustainable economic recovery. It is also unlikely that there will be any early changes in fiscal policy.

Shaw Capital Guide to Interest-Free SBA ARC Loans for Debt Relief

Shaw Capital Management and Financing – Avoid debt and interest scams. Recovery Act Emergency Loans to $35,000 for Small Business. If your small business is struggling to pay debts, you may qualify for a new type of interest-free loan in amounts up to $35,000, guaranteed by the U.S. Small Business Administration. The temporary emergency program, called America’s Recovery Capital, or ARC, was authorized under the economic stimulus law passed earlier in the year and is now being launched by the SBA.  

For borrowers, ARC loans will be interest-free, and with no SBA fees attached. But as with all SBA financing programs, the ARC loans will be made by private, commercial lenders, not SBA directly. Lenders, of course, won’t make loans for free, so the SBA will pay lenders monthly interest on the ARC loans on your behalf. And that’s basically free money for you and a good chance to get a little breathing room if you’re facing burdensome debt payments.

ARC loans are deferred-payment loans available to established, viable, for-profit small businesses that are suffering hardship right now and need short-term help to make principal and interest payments on existing debt.  These loans are interest-free to the borrower (you), and 100 percent guaranteed by the SBA.

Shaw Capital Management and Financing - Here’s How it Works. In addition to the loans being zero interest and fully guaranteed by the government, you don't have to make any payments until a year after you receive the last of the funds, which will be disbursed within a period of up to six months. After the initial 12-month payment-free grace period, you'll have five years to pay it off. 

Banks and other financial institutions that make small business loans should have information on the program available soon, and it will be up to them whether or not to participate. Meanwhile, details and updates on the program will be available at the SBA’s special Economic Recovery Act website at www.sba.gov/recovery. Keep in mind that proceeds from an ARC loan must be used specifically to make payments of principal and interest on existing business debt. But that includes a wide range of different types of loans, leases and lines that you might have.

Here are the types of debt that will qualify:
1.      Commercial mortgages on a building or property that your business owns.
2.      Conventional term loans, including secured and unsecured.
3.      Revolving lines of credit.
4.      Capital leases.
5.      Credit card debt.
6.      Notes payable to vendors, suppliers and utilities.
7.      First mortgages loans under SBA’s 504 Development Company Loan Program.
8.      Any SBA guaranteed loans made after Feb. 17, 2009 (but not SBA-backed loans made prior to that date).

For many business owners, paying down high-interest credit card debt would be the best use of ARC funds. But you will have to prove that the debt was incurred for specific business purposes, and the documentation requirements to use ARC funds for credit card debt could be stringent.

The loan application process, however, is designed to be rather quick. Once lenders submit the application, SBA is promising turnaround within 5-10 business days.

The “Viable” Business Standard
The key to qualifying for and receiving an ARC loan is whether your business is considered "viable" and is facing “immediate financial hardship.”   While the standards don’t seem to present a major hurdle for existing businesses that have had success in the past, the viability measure might rule out newer businesses that haven’t turned a profit. And ARC loans are specifically not intended for startups.

Here's how the SBA defines “viable” for getting one of these loans:

"A viable small business is one that has been profitable in the past, but is just beginning to struggle with making loan payments, and can reasonably project that it can get back on track with the infusion of ARC loan funds and the benefit of deferred payments."

Examples of financial hardship offered by the SBA include declining sales or revenues, or difficulties in paying the operating expenses of the business. ARC loans will be available through SBA-approved lenders as long as the money holds out, or through September 30, 2010.  Daniel Kehrer is Editor and Director of Content Development for Business.com, and write the What Works for Business blog.

Shaw Issues Statement on Events in Japan

BATON ROUGE, La., Mar 13, 2011 (BUSINESS WIRE) -- The Shaw Group Inc. (NYSE: SHAW) issued the following statement regarding the recent events in Japan:

"On behalf of all Shaw employees around the world, I give our deepest sympathy to the people of Japan. This is an extraordinary tragedy, and we can only imagine how painful and challenging this time is for everyone in the country," said J.M. Bernhard Jr., Shaw's chairman, president and chief executive officer.

"To aid in the humanitarian efforts, Shaw has made a significant contribution to the American Red Cross, and I personally have directed all of our employees, including our team of nuclear experts, to stand ready to provide any assistance and support that we can to the government and people of Japan in responding to this terrible event.

"While it is premature to speculate on any impact the events in Japan may have on the U.S. nuclear industry, we continue to believe in the importance of nuclear energy and the role it will play in the future of our country, as well as the rest of the world. The new generation technology under construction today has been designed with greater safety systems in place that will even more effectively address the challenges we are seeing in Japan. The industry consistently incorporates operating experience and lessons learned and will continue to use those insights to make nuclear energy even safer.

"At this time, we do not believe there will be an impact on Shaw's nuclear projects currently under construction in the United States and China. Our customers have indicated they intend to move forward, and we believe the construction timelines will continue as planned," said Mr. Bernhard.

The Shaw Group Inc. (NYSE:SHAW) is a leading global provider of engineering, construction, technology, fabrication, remediation and support services for clients in the energy, chemicals, environmental, infrastructure and emergency response industries. A Fortune 500 company with fiscal year 2010 annual revenues of $7 billion, Shaw has approximately 27,000 employees around the world and is the power sector industry leader according to Engineering News-Record's list of Top 500 Design Firms. For more information, please visit Shaw's website at www.shawgrp.com.

This press release contains forward-looking statements and information about our current and future prospects, operations and financial results, which are based on currently available information. Actual future results and financial performance could vary significantly from those anticipated in such statements.

Among the factors that could cause future events or transactions to differ from those we expect are those risks discussed in our Annual Report on Form 10-K for the fiscal year ended August 31, 2010, our Quarterly Reports on Form 10-Q for the quarters ended February 28, 2010, May 31, 2010 and November 30, 2010, and other reports filed with the Securities and Exchange Commission (SEC). Please read our "Risk Factors" and other cautionary statements contained in these filings. Our current expectations may not be realized as a result of, among other things:

•             Changes in our clients' financial conditions, including their capital spending;

•             Our ability to obtain new contracts and meet our performance obligations;

•             Client contract cancellations or modifications to contract scope;

•             Worsening global economic conditions;

•             Changes to the regulatory environment;

•             Litigation or arbitration decisions;

•             Failure to achieve projected backlog.

As a result of these risks and others, actual results could vary significantly from those anticipated in this press release, and our financial condition and results of operations could be materially adversely affected. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, the occurrence of certain events or otherwise.

SOURCE: The Shaw Group Inc.

The Shaw Group Inc.

Media and Financial Contact:

Gentry Brann, 225-987-7372

gentry.brann@shawgrp.com

Foreign Exchange Markets 2010 Part 3: Shaw Capital Management

The recent State of the Union message to Congress by President Obama included a request for the approval of a further fiscal stimulus package this year amounting to around $100 billion to help to tackle the unemployment problem, and he has also presented a $3.8 trillion budget for fiscal 2011 that is likely to maintain the overall deficit around the $1.35 trillion level expected this year.

Foreign Exchange Markets 2010 Part 3: Shaw Capital Management - Much will depend on the attitude of overseas holders, and especially on the attitude of the Chinese and Japanese authorities. For the present they seem to be prepared to maintain and even increase their dollar exposure; and if this continues, and the problems of other major currencies remain unresolved, it should be enough to allow the dollar to “improve”. The euro struggled to recover in the early part of January from the big fall that occurred in December; but the recovery did not last very long, and it has subsequently fallen sharply again, to leave it value against the dollar around 10% below the level in early- December.

There has been no significant change in the underlying economic background, although there is some evidence that the fragile recovery that was developing is losing some momentum.

Foreign Exchange Markets 2010 Part 3: Shaw Capital Management Korea - But there has been a serious deterioration in the financial background as the fears have increased that Greece and some other periphery countries in the euro-zone may be unable to fund their massive fiscal deficits, and service their sovereign debts. There is also considerable uncertainty about the intentions of the European Central Bank and the stronger countries if conditions continue to worsen, and so overseas holders have started to withdraw funds from the European capital markets to await developments.

The present lack of urgency at the central bank and amongst the key politicians suggests that this trend will continue, and that the euro will fall still further; but there is still some hope that the seriousness of the situation will finally produce a support operation that will ease the situation.

Shaw Capital Management News - All the available evidence continues to point to a slow, two-speed recovery in the euro-zone economy. Germany and France appear to be performing reasonably well, although there are some signs of slowdown in Germany; but Greece, Portugal, Spain, Ireland, and even Italy are struggling to escape from recession, and are expected to keep overall output in the euro-zone this year around the 1% level.

Shaw Capital Management News - There is also considerable uncertainty about the intentions of the European Central Bank and the stronger countries if conditions continue to worsen, and so overseas holders have started to withdraw funds from the European capital markets to await developments.

Retail sales remain depressed, and fell by 1.2% between October and November to reflect the continuing caution of consumers; and industrial orders in Germany rose by much less than expected in November, after a very disappointing result in October, to indicate some weakness in export prospects that had been expected to provide significant momentum to the economy.

Purchase Order Financing Companies - Can They Be Creative?

Shaw Capital Management and Financing sharing information - Challenging economic times call for creative thinking.  You have burned the midnight oil cultivating new clients, new products and services.  Then it happens, you get the order.  First you celebrate, and then reality kicks in. How do I pay for this? The standard channels keep saying no: banks are shut down, friends are unwilling, and vendors are stressed to the max.  Who will support this tremendous opportunity?  

Shaw Capital Management and Financing sharing information, tips and advice on factoring and accounts receivable financing and factoring to avoid scams and other fraudulent transactions. Information focus on the importance of choosing the right firm and understanding the intricacies of this financing alternative and what pitfalls to avoid.

PurchaseOrderFinancing.com has a long history of coming up with creative financial solutions utilizing a variety of products such as PO funding, invoice factoring, & accounts receivable financing to fit your business needs.  Each transaction has unique nuances.  We try to modify our funding programs to the needs of the transaction.  Most finance companies demand the transaction be changed to fit their “my-way-or-the-highway” program.  Listening is the key to a successful relationship and what makes us stand out from other PO financing companies.  Our goal is to build a long term relationship with our client.  

Often we get the call saying: my factory says “I need…”. We discuss the transaction, needs/structure of your buyer, needs/limitations of your supplier.  Then we discuss how our funding program can work with each unique situation.  Everyone wins.   

How Does PO Financing Work. Shaw Capital Management and Financing sharing information, tips and advice on factoring and accounts receivable financing and factoring to avoid scams and other fraudulent transactions. Information focus on the importance of choosing the right firm and understanding the intricacies of this financing alternative and what pitfalls to avoid.

Purchase order financing can be easier to qualify for compared to traditional financing methods, and allows you retain full ownership of your business. You can qualify if: a) your business sells a tangible product to other businesses with a good track record of paying their bills; and b) you have good prospects for growth, usually provable by having a specific purchase order in hand.

Example, XYZ company receives a large purchase order - so large that they cannot financially afford to fulfill it. (Businesswise, they can’t afford NOT to.) By using PO financing, XYZ can ensure shipment and delivery to its customer when the finance company pays XYZ’s suppliers directly. This is usually done with a Letter of Credit. The customer gets their goods and pays the invoice to the finance company, who pass along 95% or more of the proceeds to XYZ company.

Purchase order financing is available to new and established companies with a growing business. Wholesalers, resellers and distributors are likely candidates. Bypass the investor and the banker, keep your ownership and equity, and choose the option that lets you grow.