Press Release: Construction Factoring Program Launched
(For immediate release) Miami, Florida – Commercial Capital LLC has announced the launch of their construction factoring program. The program provides financing to companies in the building trade industry.
Most contractors have to meet payroll and pay suppliers regularly, but have to wait up to 60 days to get paid by their clients. This creates major cash flow issues. Factoring eliminates the wait and provides clients payment for their invoices in as little as one day. This makes invoice factoring one of the best business loan alternatives and business financing tools in the market.
Factoring construction invoices works as follows:
- You deliver the work or work segment and invoice for it
- You sell the invoice to the factoring company. They advance you the first installment of 75% of the value of your invoice.
- The factoring company waits to get paid, while you use the funds
- Once the factoring company gets paid, they rebate the remaining 25% (second installment), less a small fee
Some businesses that can be helped by receivables factoring include companies in asphalt, HVAC, electrical works, engineering, and carpentry among others.
“Construction factoring is a great tool for tradesmen and companies in the industry,” said Marco Terry, president of Commercial Capital LLC. “By eliminating the long payment waits, it allows clients to meet expenses and grow” he added.
A big advantage of factoring is that it can be set up in days and it’s very easy to qualify for. As opposed to business loans, the biggest requirement for accounts receivable factoring is that you do business with good paying clients.
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