Tackling The Construction Industry’s Persistent Cash Flow Challenge

Managing the finances of a general contracting, subcontracting or building-material supply business is a tough job. The survival rate for businesses in the construction industry is among the lowest in the U.S. as well as parts of Europe. Low profit margins, longer payment terms and susceptibility to economic volatility – not to mention a host of other challenges and daily surprises – makes the construction industry one of the riskiest. 

To reduce risk, many businesses in the industry are turning to supply chain finance. By improving cash flow in a way that benefits both the business and suppliers, these companies are able to access debt-free liquidity to help them navigate common industry challenges and weather economic volatility.  

In this white paper, we cover the following:

• The 3 biggest challenges facing the construction industry today
• A review of traditional and alternative approaches to correcting cash flow dysfunction
• An introduction to supply chain finance, how it works and its benefits
• Real-world examples of how construction businesses are using supply chain finance to navigate industry challenges