The Singing Machine Company, Inc. announced the closing of a $2 million senior credit facility with Oxford Commercial Finance. The credit facility has a 2-year term and is intended to support the funding of accounts receivable generated from ongoing sales. The Company has historically financed both accounts receivable and inventory working capital needs through a combination of working capital lines of credit with various senior lenders.

The Company primarily relies on a financing program available through an early pay platform with C2FO to fund accounts receivable without any dollar limitations. This is an ongoing financing arrangement that the Singing Machine has maintained since 2009. This program specifically enables the Company to accelerate the majority of its receivables due from select domestic retail partners.

The Oxford credit facility is intended to expand the financing on receivables that are not already approved for accelerated payments through the C2FOprogram.