Invoice factoring for construction
Invoice factoring for construction One of the most difficult industry sectors to fund by way of invoice finance is the construction sector. It is traditionally fraught with business going out of business or disputing work that has not been completed in line with the original order. Retentions are also a problem is this dilutes the debt further as retentions are typically held for 6-24 months. Finally, a purchase order is sometimes part of a contract which has all sorts of terms and conditions in the debtors favour. As invoice finance companies are looking at the quality of the debt they are going to advance money against, all these factors tend to create a problem for most invoice finance companies. Cash flow help can advise you on the best companies to discuss your invoice finance requirements. There are certain issues that prevent a construction business from factoring as their debtors will not allow the debt to be assigned to a factoring company. Under these situations a confidential invoice finance solution would be required. We have a great deal of knowledge and contacts within the invoice finance sector to help you.