How to Calculate Your Working Capital Costs Per Project
Nobody necessarily likes the idea of increasing their bid to account for the cost of capital– some subcontractors might believe a lean bid is more likely to win them work. But as Josh Luebker, construction consultant and fractional CFO, says, your bid coming in high isn’t necessarily a bad thing. It may mean your bid […]
How to Calculate The Cost of Working Capital Per GC, Based on Average DSO
Subcontractors incur more costs from their clients than they realize. When you use your own working capital to fund projects, things like delayed payments increase the interest you pay on your working capital. To that point, each client costs you something in the form of interest, inflation, and even lost opportunities, but subcontractors rarely recognize […]
Capital Stack Whitepaper
A Billd Whitepaper Building a Working Capital Toolkit How to Solidify the Long-Term Financial Foundation of Your Business Even the most experienced subcontractors can be caught off guard by unexpected project delays. Your greatest challenge is stabilizing your cash flow so that you can keep existing projects running smoothly and take on more work. By […]
Unlocking the Unknown: Quantifying Risk with Subcontractor Supply Chain Finance
In the construction industry, Subcontractors are the ones that make it happen. They coordinate with the GC and other trades, source and procure the right materials, install with skilled trades, and bring the project vision to life. To make it happen, Subcontractors need access to working capital, which is often very difficult because supply chain […]
3 Principles to Consider Before Deploying Your Working Capital
Subcontractors have a host of working capital options to choose from: bank lines of credit, cash, credit cards, construction-specific financing, supplier terms, and more. As they cover all the capital needs of the business, subs have to be strategic and intentional, deciding which source of capital makes the most sense for each purchase. For subs […]
4 Reasons Why You Should Use Financing – Even If You Have Cash in the Bank
Being financially stable is all about your cash flow, how you manage risk, and the working capital options you use to run your business. A working capital stack that includes cash, bank lines of credit, material financing, and supplier terms allows you to pull from different sources of capital based on your business’s specific needs […]
2024 Market Report
Talk to one of our financial experts to see how Billd can help your business grow. 2024 National Subcontractor Market Report Subcontractors: It pays to get paid for the cost of working capital The fourth annual National Subcontractor Market Report is here and the evidence shows that subcontractors who account for the cost of working […]
Navigating Good Debt vs Bad Debt: A Strategic Approach for Subcontractors
Imagine a successful business, thriving with growth and profitability. What comes to mind? Perhaps a strong leadership team, innovative products, or stable, increasing revenue. But what about debt? Contrary to popular belief, debt isn’t always a sign of financial struggle. When used strategically, it can be a powerful tool for accelerating growth, optimizing cash flow, […]
Banks as a Financial Option for Subcontractors: Billd’s Take
Softcore mayhem descended on America’s banking system in March 2023, when two big whig banks abruptly closed. Economists like AGC’s Ken Simonson were uneasy, fearing the uncertainty in financial markets could spill into the construction industry. With a lot of folks casting a critical eye on banks, Billd believes that now is a good time […]
