REAL ESTATE CONSTRUCTION AND GENERAL CONTRACTOR FUNDING
What is Real Estate Construction Factoring?
This is not a loan:
Real estate construction factoring is a financing solution that helps construction companies and general contractors get paid faster for completed work. Instead of waiting weeks or months for clients to pay invoices, contractors can sell their unpaid invoices to a factoring company in exchange for immediate cash.
How It Works:
- Complete the work – A contractor completes a project or a milestone and invoices the client.
- Sell the invoice – The contractor sells the invoice to a factoring company at a discount.
- Get paid quickly – The factoring company advances a percentage (typically 70-90%) of the invoice amount upfront.
- Final payment – Once the client pays the invoice, the factoring company deducts its fee and sends the remaining balance to the contractor.
Benefits for Construction Companies & General Contractors:
✅ Improves Cash Flow – Get paid faster, reducing financial stress and ensuring steady cash flow.
✅ Funds Growth & Expansion – Use immediate cash to take on bigger projects, hire workers, or purchase materials.
✅ No Additional Debt – Unlike loans, factoring doesn’t create debt; it's simply an advance on earned revenue.
✅ Covers Payroll & Expenses – Ensure employees and subcontractors are paid on time without waiting for clients.
✅ Quick & Flexible – Funding is fast, often within 24-48 hours, allowing businesses to keep moving.
Construction factoring is a powerful tool that helps businesses stay financially strong, take on more projects, and ultimately increase revenue without the cash flow headaches of long payment cycles.
Contact us to assist you with getting your organization funded today!