Construction Finance

Construction Finance

Mention the word construction and most funders will politely decline. Dom Contracts, JCT Contracts or just the hint of applications for payment can put funders on alert. But we can help.

As finance brokers we work closely with specialists who can offer construction finance and can arrange facilities from £50k to £10m.

Understanding how your business operates is key, and most funders now work in conjunction with quantity surveyors who will review your contracts and then recommend a level of funding. This can vary from an average of 20% to 60%, but each contract may differ depending on the terms within it. It is also often a requirement that the principal in the business should be a homeowner.

A major advantage to your business is that funding can be available on uncertified applications for payment, thereby removing the delay between application and certification. This bridges the working capital gap and allows you to pay your staff promptly - a vital requirement if you are going to complete your contract on time.

Another advantage of construction finance facility can be the inclusion of bad debt protection (BDP) or credit insurance. This will insure you against the risk of your customers going into administration or receivership – allowing you to be in control should such a situation arise.

Construction finance can operate on a confidential basis, although the funder may still want to be involved in the credit control and collections process. This has the advantage of freeing up your time to do other work.

Call Cashflow Finance Solutions, your specialist finance broker to discuss your requirements or complete the Contact Us form.