Factoring for the construction industry
Alliance Commercial Finance helps businesses within the construction industry maximise their cash flow, by providing invoice finance and factoring solutions.
Funding secured against existing and future contracts, JCT contracts will be considered
Up to 75% can be made available against each invoice or application submitted
Funding against applications and staged payments
Confidential factoring facilities can be provided
All accounts are online making the funding process quicker
We understand that being involved in the construction industry can be like a rollercoaster ride; one minute you have no work, the next you have so much your scratching you head wondering how you will fund it. No working capital can often mean long delays in the payment chain triggering cash flow problems.
Here at Alliance Commercial Finance, we can help. Over the last few years there has been an increase in the number of lenders willing to support those businesses who are working within the construction industry or who have to work with lengthy contracts.
factoring for the construction industry
Construction factoring, enables contractors of all sizes to maintain a credit facility secured against the contracts, allowing you to continue working on existing projects, allowing you to pay contractors and suppliers on time whilst helping you plan for future work.
Most of the factoring providers will work alongside a quantity surveyor who will review the contracts you have and suggest a suitable level of funding against each contract, this can range from 25%- 75% depending on the complexity of the contract, what type of work is being undertaken and the terms and conditions within the contract itself.
Structured staged payments or ‘Applications for Payments’ will be considered for funding, instead of having to wait for the payment to arrive, funding the application will provide you with an immediate cash flow solution to help towards materials and operating costs to allow the completion of the contracts on time.
Most factoring facilities for construction will be confidential and allows your company to retain its credit control function, for example; you will still be sending out your own statements and carrying out your own credit management, a particular advantage if you wish the facility to remain truly confidential.