Invoice factoring for construction subcontractors
One of the biggest challenges we find with the construction industry is the time it takes to get progress claims paid, the issue being that wages must be paid usually each week along with suppliers. You do the work, send the invoice and wait up to 60 days to get paid.
Whether we like it or not, this is the way things are done in the construction industry. And, unless the subcontractor has a large cash reserve, waiting 60 days can be close to impossible. Especially, with the never-ending wages responsibilities.
We have many clients in the construction industry that use our invoice factoring solution. Getting paid quickly allows subcontractors to easily pay employees and suppliers on time, enabling them to grow their businesses. The name of this financing tool is construction factoring, a special type of invoice factoring. Factoring receivables is an easy way to finance and grow your construction business without the need to use any property security.