Construction invoice factoring can help your company thrive by allowing you to compete for larger contracts. We don’t discriminate against companies or sub-contractors based on size or experience level, so we can definitely get you the cash you need instantly.
Construction Factoring is...
Construction factoring provides the perfect solution for your company’s financial difficulties. Although it’s not uncommon to have clients who take a long time to pay in the construction industry, this shouldn’t prevent your business from taking on new, bigger projects. Factoring gives you the money you need to hire more staff for your construction efforts, cover employee salaries and benefits, as well as pay for any equipment or upfront costs associated with new projects.
How Subcontractors and Construction Companies Can Benefit from Invoice Factoring
Being paid promptly is crucial for businesses. Factoring is a great financing option whether you need it for the short-term or long-term. There are many benefits to choosing factoring for your business:
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What are the benefits of partnering with a construction factoring company?
By factoring your construction invoices, you ensure the success of your company. In order to finance construction through a bank, you have to go through an extensive application process with very high approval terms. If your company doesn’t have enough collateral or if your credit isn’t perfect, there’s a chance you won’t be approved for funding at all. Even if you are approved, it’s likely that the amount of money you’re given won’t be enough to cover everything.
If you’re ever feeling limited by a lack of funding for your construction company, consider invoice factoring with Factoring.io instead of taking on any new debt. By selling your unpaid invoices to us, you’ll have the opportunity to build credit because you’ll have the working capital available to take on more customers, bid on larger projects, and pay suppliers early.
How do you Factor Construction Invoices?
We are fully aware of the cash flow obstacles that construction businesses go through. Invoice factoring is a quick and effortless method to improve your money flow today. If you’re interested in initiating a project or need funds to advance onto the next stage of a project, please reach out to us.
How does it work
A construction factoring company will purchase your open invoices at a discount and advance you around 75%. This money can then be used to finance payroll, buy equipment, pay suppliers, etc. The construction factoring company will bill your customers based on the terms you set. Once the invoice is paid in full, minus a small fee, the rest of the balance will be returned to you.