Under the terms of the agreement with TD, Intouch will increase its available line of credit ("LOC") to over 2 Million dollars at an interest rate of prime +1%. The LOC will be based off a combination of the Company's accounts receivable, as well as the recurring revenue from software sales. The agreement contains a covenant regarding the Company's tangible net worth and a covenant regarding its retention of recurring software revenue. The debt service covenant has been removed.
"As we continue our focus on the Customer Experience Management (CEM) marketplace and accelerate our transition towards additional software sales, it made sense that we have our debt availability structured to better accommodate rapid growth. We are thrilled to have had TD step up as a strong partner with an understanding of what we will need as we grow in the software sales marketplace. Having our facilities tied to our recurring software revenue sales will be advantageous moving forward," said Cameron Watt, President & Chief Executive Officer.
About Intouch Insight
Intouch Insight offers a complete portfolio of customer experience management (CEM) products and solutions that help global brands delight their customers, strengthen brand reputation and improve financial performance. Intouch helps clients collect and centralize data from multiple customer touch points, and gives them actionable insights to identify, sense and continuously improve customer experience efforts in real-time. Founded in 1992, Intouch is trusted by franchise and multi-location businesses for their customer survey, mystery shopping, mobile forms, operational and compliance audits, and event marketing automation solutions. For more information, visit intouchinsight.com.
Certain statements included in this news release contain forward looking statements, which by their nature are necessarily subject to risks and uncertainties and other factors that may cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such statements reflect the Company's current views with respect to future events, and are based on information currently available to the Company and on hypotheses which it considers to be reasonable; however, management warns the reader that hypotheses relative to future events which are beyond the control of management could prove to be false, given that they are subject to certain risks and uncertainties.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Intouch Insight Ltd.
For further information: George Aizpurua, Vice President, Communications, First Canadian Capital Corp., Tel: 647-500-2389/416-742-5600, [email protected]; George Pretli, Chief Financial Officer, [email protected], 613-270-7916