Construction & Trades
Business Funding for Electrical Contractors
Electrical contractors carry high insurance costs and often need to purchase materials weeks before a project pays out. Commercial and industrial electrical work requires specialized tools and certifications that cost real money to acquire and maintain. The margin on electrical work is good, but the float between material purchase and final payment can strain a growing company.
Common Uses
What Electrical Contractors Use Funding For
- Purchase wire, conduit, panels, and switchgear for upcoming commercial jobs
- Invest in bucket trucks, cable pullers, and conduit benders
- Fund the training and certification costs for journeyman and master electricians
- Cover bonding requirements for government and institutional electrical contracts
Funding Options
Best Funding Types for Electrical Contractors
Invoice Factoring
Turn your net-30 and net-60 invoices from general contractors into same-week cash. Electrical subs often wait the longest to get paid on a project, and factoring eliminates that dependency.
Equipment Financing
Finance specialized equipment like thermal imaging cameras, power quality analyzers, and cable pulling machines. Electrical testing equipment holds value well and qualifies for favorable terms.
Business Line of Credit
Keep a revolving credit line available for material purchases on new bids. Electrical supply houses often give better pricing for cash or short-term payment, and a credit line lets you take advantage of those discounts.
What Lenders Look For
Qualification Notes for Electrical Contractors
Related Industries
Related Construction & Trades Funding
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