Moda Operandi

Case Study

Gordon Brothers Provides Working Capital to Support Moda Operandi's Growth

Date August 16, 2021

In March 2020, Gordon Brothers was approached by Moda Operandi, a high-end, luxury retailer that sells exclusively through its website, to provide a $13 million term loan to support the growth of the company’s business.

Moda Operandi had previously experienced operational issues with its third-party logistics vendor that caused a significant cash burn in 2019 but was able to mitigate most of these issues in 2020 following the move to a different provider.

Moda Operandi used the proceeds to continue to fund working capital and invest in its core client experience, innovative shopping model, unique curation of fashion, fine jewelry, home decor, and the data and technology systems that power the retailer’s platform, while, at the same time, it recapitalized its balance sheet.

“The Gordon Brothers team was remarkable to work with,” said Stephanie Roberts, then Interim Chief Financial Officer at Moda Operandi. “This was one of the best executed financings I’ve been through as they kept the process simple, straightforward and executed exactly what they said they would from the beginning.”

Gordon Brothers’ domain expertise, hard work and flexibility yielded the liquidity needed to run a full marketing process for the recapitalization, and we achieved the best outcome for the company.