Contractor Cash Flow Challenges
Large Capital Purchase
30% to 50% of overall project costs are materials & equipment.
Timing of Purchase
Contractors are usually required to purchase and pay for materials and equipment prior to receiving full payment from the customer.
Difficult to forecast payment from the customer once work completed – often takes 30-90 days or more to receive full payment.
Access to Credit
Contractors have a difficult time obtaining traditional bank financing and typically have to work with multiple Suppliers to access sufficient credit to grow their business.
Trade Credit Financing
Up to 120 days
Weekly Finance Charge
$50 per $10,000 borrowed
Interest Free Period
Contractors can receive up to 30 days interest/payment free*
Auto debited weekly. Principal due by maturity date
*Requires supplier discount