Money & Funding

The tools that work when the bank says no.

3 pieces in this section

Did you knowThe U.S. federal government spends over $200 billion a year on construction — and 25% of that is set-aside for qualifying businesses.Did you knowThe Prompt Payment Act requires federal agencies to pay contractors within 30 days. Interest accrues automatically after that.Did you knowEvery state issues its own DBE certification. Some honor reciprocity. Most don't.Did you knowSection 3 has been federal law since 1968. Most people who qualify have never heard of it.Did you knowInvoice factoring doesn't appear on a credit report. It's not a loan.Did you knowThe SBA runs a bond guarantee program for contractors who can't get bonded conventionally. Most applicants never apply.

The 60-Day Wait That Breaks Most New Contractors

Most public-sector contracts pay 30 to 60 days after the invoice is approved. Some pay later. Subcontractors often wait 90 days or more after the work is done.

That gap — between paying your crew on Friday and getting paid by the agency in two months — is what kills more new construction businesses than bad work, bad bids, or bad luck combined. It's not failure; it's math. The cash flow simply doesn't work for someone who hasn't planned for the wait.

There are funding tools built specifically for this gap. Most contractors don't know they exist, or assume they need traditional bank credit to qualify. Neither is true.

Want to know which funding tools work for new contractors with limited credit history? Members walk through each one — what they cost, who qualifies, and how to set them up.

Reserve your spot →

Invoice Factoring: The Funding Tool Most Contractors Have Never Heard Of

When a contractor invoices a client, they own that invoice as an asset. It's a promise of future money. Most contractors wait for that promise to turn into cash.

A few don't. They sell the invoice — at a small discount — to a factoring company, and get most of the money the same week the invoice goes out. The factor collects from the client later. The contractor moves on to the next job with cash in hand.

Factoring isn't a loan. It doesn't require a credit score. It doesn't appear on a credit report. For contractors who hold strong invoices but have weak credit, it can be the difference between growing and stalling.

Curious how to choose a factor, what fees to expect, and how to set the assignment up without losing the client relationship? Members get the full walkthrough.

Reserve your spot →

Why Construction Loans Reject New Contractors (And What Works Instead)

Banks underwrite construction loans against three things: collateral, two years of business tax returns, and a personal credit score over 680. Most new contractors don't have all three. Many don't have any of them.

That's why most new construction businesses don't get traditional loans. The financial system isn't broken — it's just not designed for the first three years of a contractor's career.

There are five funding paths that ARE designed for those three years. None of them are loans. None of them require a credit score. Most contractors get to year five without learning what they are.

Want the five funding paths that work when banks say no? Members learn each one — what it costs, who qualifies, and how to access it.

Reserve your spot →