Working Capital Shortens Payment Process

Client:
A Delaware Company focuses on providing technology-driven solutions for the construction industry to streamline and simplify the procurement process for building materials and construction services. By leveraging technology, the Company helps construction companies, contractors, and developers source high-quality materials efficiently and cost-effectively.

Situation:
As a young Company, they were experiencing rapid growth, doubling year-over-year revenue. They needed a capital structure that could support operations and growth as they began to hire additional subcontractors. But their payment terms to subcontractors and other vendors were stretched to 90 days and subcontractors were reluctant to work with them. They were unsuccessful in reaching out to traditional banks for working capital due to the complexity of construction funding. A bank contact knew of nFusion Capital’s expertise in the construction industry and referred them to us.

Solution:
$2,000,000 Factoring Facility

Result:
nFusion’s funding helped the Company to pay subcontractors faster, so they could acquire additional subcontractors’ services which enabled them to take on bigger projects and continue to grow.

“This is a sophisticated company and great to work with. We are excited to help them meet client needs for procurement, ensuring quality and timely delivery of materials, and enhancing overall project efficiency. Their digital marketplace for U.S. construction contractors now offers a wide range of ‘ready-to-install’ materials such as countertops and tile.”

Brice Reid, Senior Vice President, nFusion Capital