With many banks turning down loans for pavement and concrete contractors you might be wondering what options are available for you to get access to much-needed working capital. Accounts receivable factoring, also known as invoice factoring, could be the solution for you as it works for any business that invoices their credit-worthy commercial clients.
Without a loan from a bank, many paving and concrete contractors have to continually find the funds to make payroll, purchase supplies, and pay vendors. Since your capital is tied up waiting 1, 2, even 3 months to collect on invoices, that can’t even be submitted until all or part of the job is completed. Accounts receivable factoring can provide you with immediate access to cash, eliminating the long wait giving you the funds you need, and removing the burden from your shoulders.
For asphalt contractors who choose to work with a factoring company, like CapitalPlus Financial, the process can be quite easy and much faster than working with a traditional bank. There is typically a short application process, which can take only a few days or weeks depending on how quickly the needed documents are submitted. Once the application process is complete, each time you submit an invoice, for an approved client, you get the funds within hours. All you have to do is submit a copy of your invoice to the factoring company when you submit the original invoice to your client.
Contractors who work in pavement and cement no longer have to worry about how they are going to get access to much-needed working capital to meet their financial obligations and take on new jobs. They need to partner with a factoring company, such as CapitalPlus, that understands their needs and can be the valuable partner they were missing.Back to blog