AUSTIN, Texas, Nov. 1, 2022 – Billd, the leading provider of financial solutions for commercial subcontractors, announced today that it has closed on a $100M debt facility, led by LL Funds LLC, to support the increased demand of its Material Financing and Pay App Advance products, both of which uniquely combat common working capital challenges in construction. This new debt facility will go to support increased demand from both new and existing customers.
Commercial subcontractors have previously relied on poor-fit financing solutions that are either too small to support their needs, or too costly to make financial sense, each of which are decidedly not tailored to meet the demands of the construction industry. With a $100M debt facility now at the company’s disposal, Billd is uniquely positioned to lead subcontractors into a new era of financial services.
“The construction industry has left subcontractors footing the bill for materials and labor for too long,” said Chris Doyle, founder and CEO of Billd. “That responsibility should not be placed on subs. Billd’s new debt facility is another milestone toward bringing smart, scalable working capital to every commercial subcontractor in the United States.”
“Billd provides a unique financing solution to an underserved part of the construction sector, enabling subcontractors to grow their businesses rather than being held captive by capital constraints, and we’re glad to support the company’s continued growth,” said Raj Mundy, partner LL Funds.
Billd closed a new warehouse facility, in part, to meet demand for its new Pay App Advance product, which provides an advance on subcontractor’s approved Pay Applications. By making Pay App Advance more widely available, Billd is ensuring subcontractors have the capital they need to execute their contracts on-time and on-budget. This remains especially important as public project spending continues to surge from the infrastructure bill. As demand for supply chain finance continues to rise for commercial subcontractors, Billd is committed to supporting them and is devoted to leading a new category of financing that distinctively serves their needs.
Billd stands alone as a partner that truly champions the subcontractor. Founders Christopher Doyle and Jesse Weissburg, industry veterans in both construction and finance, witnessed the detrimental impact to subcontractors of the longstanding broken payment cycle in construction. Their time in the trades inspired them to launch Billd in 2018, bringing the financial power of Wall Street to the construction job site. Billd’s financial and payment products empower subcontractors to bypass project hurdles by providing access to upfront funds to cover their most pressing costs, including materials and labor. Unlike traditional financing outlets, Billd provides flexible lines of credit to accommodate the unpredictability of cash flow in construction, and extends their customers 120-day terms to align with industry payment standards. Billd knows traditional credit metrics are poor predictors for risk and has built a variety of industry-specific, proprietary analytic and financing tools to allow subcontractors to stabilize cash flow and more effectively grow their businesses.
About LL Funds:
Founded in 2009, LL Funds (LL) makes opportunistic investments in asset-backed securities (ABS) and the companies that originate them. The team combines equity skills (sourcing, diligence, management and operations) with credit expertise (asset-backed origination, lending, underwriting, securitization and trading) to capitalize on asymmetric investment opportunities. LL seeks deep value situations to concentrate an analytical, actuarial-based, contrarian approach.
For questions or more information, contact Jon Katz, Senior Vice President of Marketing at Katz@billd.com