Financing for construction companies
Construction runs on progress billings that pay in 30 to 90 days while payroll, suppliers and equipment bills land every week. Voxen Capital structures two instruments around that cycle: invoice factoring from $50,000 to $10,000,000 that advances against certified progress billings within 24 hours of setup, and equipment financing from $10,000 to $5,000,000 for the machines that win the next contract — new or used, from any vendor, including auctions.
Start an applicationThe progress-billing squeeze
A general contractor or sub finishes a phase, bills it, and waits — 30, 60, sometimes 90 days with holdbacks on top. Meanwhile crews are paid weekly and suppliers want net-30. The bigger the contract, the wider the gap between work done and cash received.
Banks size an operating line to the company's balance sheet, and a builder's balance sheet is mostly receivables and iron. Factoring underwrites the receivable itself — the GC or owner paying the bill — so the facility grows with the book of work instead of lagging a year behind it.
Equipment is the other half: winning bigger contracts means owning or controlling more machine capacity. Financing the machine against its own revenue keeps working capital free for the jobs it wins.
Construction segments we structure financing for
- General contractors and construction management
- Excavation, paving, and sitework
- Electrical, plumbing, and mechanical subs
- Concrete, framing, and structural trades
- Roofing and building-envelope companies
- Civil and infrastructure subcontractors
How construction financing works at Voxen
- Send your receivables and equipment needs — Submit your aging, your typical GC or owner clients, and any equipment you plan to buy or refinance. One application covers both instruments.
- Structured in days, not review cycles — Factoring facilities are set up in 5 to 10 business days; equipment offers typically land within 24 hours, with funding in 2 to 5 business days — fast enough for auction deadlines.
- Progress billings advanced within 24 hours — Once the facility is live, each certified billing is advanced the next business day. Holdback treatment is agreed upfront per contract.
- Facility grows with the book of work — Because approval follows your clients' credit, a new large contract expands the facility instead of straining it.
The products construction companies use
Factoring carries the payment cycle; equipment financing puts machines on the job without draining working capital. Most growing contractors run one of each.
| Invoice Factoring | $50K–$10M · 5–10 business days to set up; 24h per invoice after |
|---|---|
| Equipment Financing | $25K–$5M · 3–10 business days |
Frequently asked questions
Can progress billings with holdbacks be factored?
Yes — the advance is structured against the certified, payable portion of each billing, with the holdback treated separately per contract terms. The facility is set up around how your contracts actually pay, not a generic template.
My company is young and my credit took hits. Do I qualify?
Factoring approval follows the credit of the GCs and owners who owe you money, not your company's age or your personal score. A young sub billing established GCs is a fundable file. Equipment financing is secured by the machine itself, which also carries files a bank would decline.
Can I finance used or auction equipment?
Yes. Voxen routinely structures financing on used machines, auction purchases, and private sales — typically up to 15 years old for construction equipment, with maintenance records helping older units. Time-sensitive auction deals can be expedited when documentation is ready.
How big a facility can a construction company get?
Factoring facilities run from $50,000 to $10,000,000 and scale with billings. Equipment financing runs from $10,000 to $5,000,000 per file. Both are quoted per file, with no application fee and no credit impact to ask.