Construction Finance

What is Construction Finance?

Construction finance is a flexible funding solution that offers contractors and sub-contractors fast access to working capital advanced against applications for payment.

In the construction industry, there are many potential cash flow issues and other challenges that could arise from extended and unpredictable payment cycles or fluctuating costs of materials.

By releasing funding against your certified or uncertified applications for payment or stage invoices, construction finance bridges the cash flow gap between paying suppliers and getting paid so that you can take on new projects and grow your business with confidence.

Use the tool below to find out how much funding you could release with construction finance:

How does construction finance work?

Your business raises an a stage invoice or an application for payment
Construction finance company advances up to 70% of the value of applications but up to 90% of the value of invoices, where works are completed and signed off for, within 24 hours
Your customer pays into the Funder’s account
Remainder of invoice value is made available to you, minus fees

Benefits of construction finance

Construction finance helps businesses to overcome the cash flow challenges that are endemic in the construction industry
Bridge the cash flow gap between having to pay suppliers and getting paid by your customer to ensure steady cash flow
Allows you to gain fast access to working capital – often within 24 hours
Funders specialise in the construction sector and so have a thorough appreciation of its workings
Improved cash position can help you secure supplier discounts
Provides flexibility as funding grows in line with sales ledger
Credit protection may be available against your debtors to safeguard against debtor insolvency or protracted default

Which construction finance company is right for my business?

With so many funding products to choose from, finding the best solution for your construction business can be an immensely time-consuming process.

Given our team’s extensive experience and insight into the construction finance arena, we will quickly and effectively identify the most suitable options and lenders to meet your needs.

To explore your options with one of our funding consultants, call us on 0800 9774833 or email info@hiltonbaird.co.uk.

Contacting Hilton-Baird was the catalyst my company needed to grow. Their knowledge of the industry was second to none and helped find the perfect funder for me.

Simon Powell, Managing Director, Astringo Commodities Ltd

Related Resources

What is Invoice Factoring? (The F Word Explained)

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How Does Factoring Work?

Why Use An Invoice Finance Broker?

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Compare Invoice Finance Solutions

© Hilton-Baird Financial Solutions Limited
Registered in England and Wales. Company Registration Number: 03832884. Registered Office: 110 Cannon Street, London, EC4N 6EU
ICO Number: Z7220067

Authorised and regulated by the Financial Conduct Authority (FCA number 730445)
We are a credit broker and not a lender and offer credit facilities from a panel of lenders

We work with a panel of commercial finance providers and are typically remunerated by way of commission. The structure and amount of commission we receive varies between products and based on the facility. Further details are available on request.

What is Construction Finance?

How does construction finance work?

Benefits of construction finance

Which construction finance company is right for my business?

Related Resources

Some of the funders we work with