For many contractors, securing capital for a project starts when their stress level is already high. The project has started and the crew is on-site or it is only a few days / weeks from starting. Payroll becomes an emergency — how will you pay your team while waiting for the GC to pay you?… Read more »
Tag: funding for contractors
Commercial construction contractors are in an almost impossible situation. The economy is booming, and public and private organizations are looking to build new offices, hotels, skyscrapers and more. But to make all that happen, organizations — and the general contractors they hire — depend on thousands of subcontractors who are willing and able to do… Read more »
There are many factors behind landing a winning bid. For upper-level commercial construction projects — especially for those lucrative government contracts — you have to prove that your company can complete the work for a competitive price and that you have the means to carry it through start to finish. A Financial Capability Letter can… Read more »
Few commercial contractors have the luxury of paying the full up-front cost of a project without help along the way. But often, they wait too long to seek that additional funding, which can put unneeded stress on the project itself or even the business overall.
Construction projects are capital-intensive and, unlike the way in which many goods and services in the United States are bought or sold, the company undertaking the work — that is, the subcontractor — puts in a considerable amount of work before billing and months before receiving payment for its services. Due to the nature of… Read more »
Managing cash flow and staying above water can be difficult for any business, but the problem is especially prominent in the construction industry, and only becomes more difficult as a company grows. Due to a complex and inefficient payment system, contractors have a nearly impossible task of covering the cost of a job, especially before… Read more »