Contractors run on tight cash. You front materials, pay crews, and wait 30, 60, or 90 days to be paid. Working capital financing exists to bridge that gap.
The classic contractor squeeze
A new project means a deposit on materials, mobilization, and payroll. Even a profitable contractor can run out of cash midway through a job.
Options that fit
A business line of credit lets you draw exactly what you need per job. A short-term working capital loan provides a lump sum for larger ramp-ups. Both are faster than waiting on a bank.
Underwriting considerations
Lenders will look at your average monthly revenue, customer concentration, and time in business. Have your last 6 months of bank statements ready.