Year: 2025

What Is Progress Payment Financing?

What Is Progress Payment Financing? An In-Depth Look

Introduction In the construction world, cash flow is often one of the toughest challenges to manage. Long-term projects, delayed client payments, and upfront expenses for materials and labor can leave contractors strapped for cash—even when the work is moving forward. This is where progress payment financing comes in. Progress payment financing is a type of […]
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What Is Retention Money in Construction?

What Is Retention Money in Construction? Key Details

Introduction In the construction industry, getting paid on time is already a challenge, but there’s another hurdle contractors often face: retention money. Retention money is a portion of your payment that’s withheld by the client until the project is completed, or even beyond that, to ensure the work meets the agreed-upon standards. Typically, retention money […]
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What Is a Business Credit Score?

What Is a Business Credit Score? Why It Matters

Introduction If you’re running a construction business, you already know how critical access to financing is for keeping your operations moving. But did you know that your business credit score plays a major role in determining whether you qualify for loans, lines of credit, or even favorable terms with suppliers? While most people are familiar […]
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What Is Leaseback Financing?

What Is Leaseback Financing? Everything You Need to Know

Introduction Cash flow challenges are a fact of life for contractors and builders. Whether it’s covering payroll, buying materials, or bidding on new projects, having access to capital is essential for keeping your business running smoothly. But what do you do when your cash reserves are tied up in equipment that you can’t afford to […]
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What Is Trade Credit?

What Is Trade Credit? A Clear Explanation

Introduction As a contractor or builder, managing cash flow is one of the biggest challenges you face. Between paying for materials, equipment rentals, and labor costs—often before you see any payments from your clients—things can get tight fast. That’s where trade credit can make all the difference. Trade credit allows you to delay payments to […]
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What Is Invoice Factoring? Explained Clearly

What Is Invoice Factoring? Explained Clearly

Introduction If you’re a contractor or builder, you’ve probably faced one of the industry’s most frustrating challenges: delayed payments. Whether you’re waiting on a client to process invoices or dealing with long payment cycles, slow cash flow can put serious pressure on your business. Payroll, materials, and other expenses don’t wait, but your payments often […]
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What Is a Line of Credit (and How Can Builders Use It)?

What Is a Line of Credit (and How Can Builders Use It)?

Introduction In construction, cash flow is king. Projects don’t wait for invoices to be paid or for payments to clear. Whether it’s buying materials, covering payroll, or dealing with unexpected expenses, contractors often need access to cash—fast. That’s where a business line of credit (LOC) comes in. Think of it as your financial safety net, […]
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What Is Equipment Financing?

What Is Equipment Financing?

Introduction Running a construction business means you’ve got to keep up with demand, land big contracts, and stay efficient—all of which require top-notch equipment. But here’s the catch: construction equipment is expensive. Whether you need excavators, loaders, trucks, or even smaller power tools, the upfront costs can eat into your cash flow fast. This is […]
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What is Asset-Based Lending?

Introduction In the world of contracting and construction, securing financing for projects is often a critical hurdle. Traditional loans can be difficult to obtain, especially for businesses that don’t have substantial credit histories or cash flow. Asset-based lending (ABL) offers a solution for contractors by allowing them to leverage their business assets—such as equipment, real […]
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What is Purchase Order Financing?

Introduction In the world of construction, materials and supplies are often a significant portion of a project’s budget. Contractors are frequently faced with the challenge of securing the necessary materials without having the upfront cash to make the purchase. This is where purchase order financing comes in as a viable solution. Purchase order financing allows […]
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