The way cash flows through the construction industry isn’t always linear. Especially if you’re working as a subcontractor where you’re often paying your vendors for materials to start a job before getting payment from your customer. This cash crunch is particularly painful for subcontractors who have high material costs.
Mesh, an innovative millwork fabrication company located in Florida, runs into this issue all too often.
“We can invoice our customers for a certain amount, but we might not get that money for a while. However, we’re still doing the work and buying the materials,” explains Vivian Bell, the company’s accountant.
Sure, fronting cash to cover the cost of starting a job is pretty much the norm in the construction industry, and it might sound like business as usual. However, there are easier ways to pay for the materials needed for a job.
By financing materials through Levelset, applicants can get their materials upfront and pay for them up to 120 days later.
“I think it’s awesome that we get 120-day payment terms with Levelset, because sometimes it can be 45 or even 60 days before we get payment from the customer,” says Vivian. “So even though we’re making weekly payments to Levelset, it’s still better than putting up a large amount upfront at one time.”
For Vivian and her team at Mesh, using Levelset to buy their materials was an easy decision because they already trusted Levelset to help them protect their lien rights and ensure payment on jobs. Plus, they know that the team at Levelset is reliable and great to work with.
They were pleased to receive the same level of customer service that they get with lien rights management for materials financing as well.
“The Levelset team was great in processing our application and making sure everything was reviewed in a timely manner. They communicate with us regularly and follow up numerous times with our vendors. It has been a really smooth process,” says Vivian.
Vivian has been so pleased with the experience using Levelset to buy and finance financing, that she would gladly recommend it to others.
“If you work in the millwork industry or another similar line of business where materials are expensive, Levelset is a great option for materials financing if you need more time between purchasing materials and actually receiving payments from clients,” says Vivian.
Ready to get your materials upfront and pay later?
Like Vivian Bell, you can get convenient payment terms and a simple financing experience when you apply for materials financing through Levelset. Talk to our team to learn more or apply online today.
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The post How an Innovative Millwork Company Balances Material Purchases and Customer Payments appeared first on Levelset.