What is Construction Factoring?
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 you're scratching your head wondering how you will fund it.
No working capital can often mean long delays in the payment chain triggering cashflow problems.
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Funding secured against existing and future contracts, JCT contracts will be considered
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Up to 75% can be made available against each invoice or application submitted
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Funding against applications and staged payments
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Confidential factoring facilities can be provided
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All accounts are online making the funding process quicker
Over the last few years there has been an increase in construction factoring companies willing to support those businesses who are working within the construction industry or who have to work with lengthy contracts.
Our team at Alliance Commercial Finance are experienced in construction factoring and are here to help.
Factoring for the Construction Industry
Factoring for construction companies enables contractors of all sizes to maintain a credit facility secured against the contracts, allowing you to continue working on existing projects, pay contractors and suppliers on time whilst helping you plan for future work.
Quantity Surveyor
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.
Applications For Payment
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.
Confidentiality
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.
Request A Quote
Let Alliance Commercial Finance search the market place on your behalf at no cost to you.
Fill out the form to request a quote on our range of services from invoice finance to confidential invoice discounting, across a range of sectors. A member of the team will be in contact with you shortly.