Managing the finances of a Construction venture is more complicated compared to other businesses. In order for the construction company to gain revenue, work or project must first be completed. Completing a project requires materials, heavy equipment and weekly or monthly payroll for the workers. In order for the company to get any work done, it must seek additional working capital. Any kind of expansion would also need additional capital but funding is hard to get by for Construction Companies. Traditional bank loans do not want to take the high-risk investments such as construction. Bank loan applications from contractors or construction companies often get turned down citing risks of nonpayment as the reason. Construction companies who do get past banks are usually the ones who have been around for decades with spotless credit records and the funds would take some time to come in. Luckily, there are alternatives to bank loans.   Alternative Financing for Construction Companies Bank loans are difficult to come by for construction companies. With risks as high as posed by the construction industry, banks would require a long credit history, high credit score and no records of bankruptcy and defaults. These are high requirements for construction companies that are just looking to expand. To cater to construction companies, WeCompete Lenders has partnered with a network of lenders that are willing to provide working capital for construction works and projects. Applying through WeCompete Lenders is easier and faster, with loans being approved in as early as 24 hours. Here are some working capital solutions that are suitable for construction companies. SBA Loans are loans that are granted by lenders but they are backed by the government, guaranteeing up to 85% of the loan in case it goes to default. Applying for an SBA loan takes longer than other loans but the guarantee of approval is higher because the risk is already cushioned by the SBA. Equipment Financing is easy to acquire because the equipment serves as the collateral for the loan. In the case of a loan default, the lender takes back the equipment. This is highly recommended for construction companies where equipment is the biggest investment and the necessity for expansion. Asset-based lending allows a company to use its present assets, such as equipment or properties, to acquire a working capital. The more assets you have, the easier it is to get approved for this loan. Construction companies can use their machinery to avail of the loan. Line of Credit works similar to a credit card and a loan. You can use it for payroll and purchase of materials. A line of credit has a maximum limit which is set by both parties. Its difference with loans is that with a LOC you don’t pay for the maximum amount or a principal amount, you only pay for the amount you have used. Merchant Cash Advance can be availed by a construction company if they accept payments through credit cards. An MCA is one of the easiest working capital solutions to avail. It is not a loan but an advance made on future revenues of the company. Term Loans are one of the oldest existing working capital solutions. They can be divided based on the maturity period of the loan. Term loans can take up to 20 years of repayment depending on the amount. There is also an option to pay back the loan on an earlier period.   WeCompete Lenders has catered to several construction companies that needed large-size loans. All of them have improved their revenue stream proving that the right working capital solution can really propel your business. WeCompete Lenders can help build your construction company. Find out more about our offers at www.wecompetelenders.com. You can also reach out to our representative at [email protected] or at +1 (844) 516-0633.