Very few companies are financing businesses in the construction industry today as the industry risk is still too great. Many general contractors and subcontractors are reeling from the effects of the building bubble. And to add insult to injury, many construction companies who obtained a business loan will probably, or already have found themselves out of covenant. This is due to falling sales. Simply put, banks won't let them tap into their lines of credit until their sales are back on track. What's more, even in the factoring industry, few companies dare to offer construction factoring since the risks of default are still high. However, in many cases a factoring company will be able to help. There are quite a number of firms … [Read more...]