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Financial freedom? Yes…you can!

Tips to Improve Cash Flow for Your General Contracting Business

Greg Stapp

March 1, 2018

Cash flow is the lifeblood of any business. And it’s especially vital for general contracting businesses that require financial flexibility for purchasing materials, meeting payroll and paying subcontractors. Also consider that GCs must have cash liquidity in order to receive financing from creditors.

If you find that your business is consistently tight on cash flow, consider these tips to help you improve the situation:

  • Ask your clients for deposits up front to help offset initial cash outlays for labor and materials.

  • Shorten your standard payment terms to help keep the cash coming in.

  • Ask your creditors to extend your repayment terms for additional breathing room.

  • Offer additional payment options such as PayPal or credit cards. Any processing fees required may be worth it if it means immediate money in the bank.

These are just a few ways to improve cash flow in your general contracting business. Our advisors can help you gain valuable insight into your business and identify other ways to ease the cash flow crunch. Contact our firm today for professional assistance.


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