Frank Devonshire has been in the construction business for over 30 years. Year after year, Frank Devonshire General Contracting has provided its customers with professional home improvement, commercial remodeling, and renovation results. As the business prepared for upcoming projects, they found themselves in the common position of lacking the working capital they needed to expand and grow the business.
Over the course of 30 years, owner Frank Devonshire has streamlined his business, gradually improving all aspects of the business under his control. Unfortunately, it was the parts of the job outside of his control holding the business back from continued expansion. Cash flow represented one of the biggest challenges the business faced, a common issue facing most contractors. Despite those 30 years of business history, some clients remain skeptical of providing upfront payments to a general contractor. This placed Frank in the unenviable position of either turning jobs down or tapping whatever cash reserves the business had been able to accumulate to get the job started.
While Frank had consider working with his bank to secure the cash needed for these types of projects, many hurdles presented themselves. To begin, getting approved for these types of loans is extremely difficult. Despite the clear return on investment banks are wary about giving loans without a guarantee against the business or business owner. Compounding the challenge was even if the loan was approved, the process could take weeks. This sort of turnaround time, even in the best of cases, made the traditional loan route create more problems than it solved. While accessing the business’ own cash liquidity was an option, it was extremely limited and dangerous. Outlaying the cash for one job would prevent the business from having the funds available to take the next, and would handicap their ability to grow or deal with any potential emergencies that might arise.
Leveraging Reliant’s business funding options Frank Devonshire General Contracting found the answer to their challenge. When faced with clients who are wary of outlaying cash at the start of a job, Frank can accept the job and access the working capital needed to get the job started. Paying for concrete, paying for block, and ensuring payroll is going to be met, allows Frank to immediately accept those profitable jobs that he would have been forced to turn down previously. Within days his business account has the cash available to get the job started, easing stress and allowing Frank to begin finding the next job.
Overcoming the challenge of home owners apprehensive about paying a contractor up front is not the only reason contractors love Reliant Funding. Cash flow difficulties are not solely “start of the job” problems, often contractors’ biggest challenges come after the job has been completed. Dealing with late paying clients can put extreme strain on a business’ capacity for growth. In some cases, the issue may be a problem client, in others the client may be waiting on an insurance payment to be processed before they can make the full payment. Regardless of the reason, when there is a receivables gap, it is the business that suffers. Once approved with Reliant Funding general contractors have immediate access to a reliable source of working capital for covering those gaps. Additionally, many general contractors will leverage their Reliant Funding relationship to purchase equipment. Whether the business needs the equipment to take on new and more profitable jobs, or is simply upgrading old and broken equipment, these funds allow the business owner to improve their business quickly and easily.
When faced with the challenge of growing his general contracting business Frank Devonshire turned to a company purpose built to service the independent business owner. The funding you need, the service you deserve goes beyond getting cash into your bank account. For Frank Devonshire, it meant finding a renewable source of capital, removing the stress of turning down jobs, or having to access cash reserves. It represents the start of a relationship where Reliant Funding is ready to assist Frank Devonshire General Contracting as they grow, expand, and build in the years ahead.