A line of credit covers gaps between paying crews and getting paid by owners.
In this article
Cash gaps
Payroll before payment.
Apply early
Before you need it.
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Financials
Clean records.
Use wisely
Short-term needs.
Monitor
Repay quickly.
Common mistakes
Applying in crisis, using for losses and messy books.
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Frequently asked questions
Why do contractors need a line of credit?
Because payroll and materials are paid before owners pay, creating cash flow gaps.