Invoice Finance Options

Can Sub-Contractors use Invoice Finance?

In the intricate web of construction and contracting, sub-contractors find themselves in a precarious position, vital to the completion of projects yet often left waiting for payments from Main Contractors. This waiting game can severely impact their cash flow, putting a strain on their ability to meet operational demands and grow

Traditional financing avenues, unfortunately, offer little solace. Mainstream banks and many funders are hesitant to engage with businesses embroiled in the complexities of contract work, particularly those navigating the stipulations of the Construction Industry Scheme (CIS). 

This reluctance stems from the perceived risks associated with the sector's payment structures and the variable nature of contract work.

The Dilemma of Payment Applications

One of the most significant hurdles for sub-contractors is the industry's reliance on payment applications. These requests for payment, standard in the construction sector, are often met with skepticism by financial institutions. The complexity and conditionality of these applications, especially when they involve CIS deductions, make them less attractive to traditional lenders. This scenario leaves sub-contractors in a bind, needing financial support but facing a landscape barren of options.

Introducing a Tailored Factoring Solution

Recognizing the unique challenges faced by sub-contractors, our approach offers a beacon of hope. We've crafted a factoring solution specifically designed for sub-contractors languishing in the wait for payments from Main Contractors. Our solution addresses the core issue head-on: the need for immediate liquidity.

How It Works

Our innovative factoring service caters to the sub-contractor's need for cash flow relief by advancing up to 80% of the net value of their payment applications, CIS deductions considered. This financial lifeline allows sub-contractors to reclaim control over their cash flow, enabling them to meet operational costs, invest in growth, and navigate the financial unpredictability inherent in the contracting industry.

The Benefits Unpacked

Immediate Cash Flow Improvement: By accessing up to 80% of the payment application's net value upfront, sub-contractors can significantly reduce the waiting time for funds, transforming their financial landscape almost overnight.

Bypass Traditional Financing Hurdles: Our solution sidesteps the reluctance of mainstream banks and funders to engage with the contracting sector, providing a pathway to liquidity without the usual barriers.

Support for Growth: With improved cash flow, sub-contractors can take on more projects, invest in resources, and solidify their position in the market, all without compromising their financial stability.

A Partner in Your Corner

In the challenging terrain of contract work, having a financial partner who understands the sector's nuances can make all the difference. Our commitment is to provide sub-contractors with a reliable, effective finance solution that respects the unique dynamics of their work and offers a real path to financial resilience.

image of invoice with text below reading contact us about invoice finance

We believe in empowering sub-contractors to thrive, not just survive, in the competitive landscape of construction and contracting. With our tailored factoring solution, we're turning the tide on cash flow challenges, enabling businesses to look forward to a future defined by growth and opportunity.