Construction Factoring

Stop waiting 30-90 days for payments

Still waiting for payments on construction projects that were completed weeks ago?

 

Do suppliers need to be paid today to obtain lien waivers? 

Are your slow-paying customers slowing down your business growth?

Accounts receivable financing, or Factoring, is the purchase of accounts receivable invoices at a discount. If you bill your services to general contractors, commercial customers, or government entities, and they pay in 30, 60, 90 days or more, Invoice Factoring is a great working capital solution. This flexible type of financing works great for construction businesses of many different ages and sizes, as long as you have qualifying invoices. Many factoring companies will even work with you if you’re a startup. 

Qualifying for invoice factoring is easier than qualifying for long term financing, like term loans and lines of credit. While credit scores, annual revenues, and profitability can be significant hurdles for other types of financing, those are less often issues with invoice factoring. Most factors care about three primary things:

  1. You must invoice business (B2B) or government (B2G) customers. Your customers must have good credit scores and they must be established businesses. The factor will need to feel comfortable that your customers are likely to pay off your invoice.
     

  2. The invoices must be due and payable within 90 days and unencumbered by other loans.
     

  3. Your business should not have a history of serious tax or legal problems.

*** Pay when paid contracts and progress billing is ok.

*** Invoices to general contractors and commercial clients 

Immediately Improve Your Cash Flow

  • Cash in 24 hours

  • No recourse even if the account does not pay

  • Credit insurance on your clients at no cost to you

  • No arbitrary loan board decisions

  • No Fixed Payments

  • As sales and receivables increase, funding Increases

  • Focus on your business, not collections

  • Take advantage of early payment or bulk purchase discounts from your suppliers

  • Ability to start new or large projects

  • Accounts receivable financing is more flexible and quicker than bank loans

Stop waiting 30-90 days for customer payments

Capital for Contractors LLC

Financial Solutions for the Construction Industry

2019 Capital for Contractors LLC. All Rights Reserved.  We are not a lender. We provide a service to prospective borrowers wherein we submit

their secure application information to our network of lenders. We do not collect a fee from the applicants. Our mission is to match prospective

borrowers with our preferred network of lenders. There is no guarantee that your application will be approved by any of our lenders.