Funding upfront materials for a job

Every trade business knows the pattern. You quote the job, win it, order the materials, pay the supplier, do the work, invoice, and then wait. On a big job the materials alone can be tens of thousands of dollars, and the money comes back weeks or months later.

Size the gap for each job

For each larger job, map:

• When materials must be ordered and paid for.
• When labour costs start.
• When you can invoice or lodge progress claims.
• When those payments realistically arrive.
• Any retention held back until completion.

The peak amount you are out of pocket is the funding need for that job.

Ways to bridge it

Option	Best for
Client deposit	Removing most of the gap on larger jobs
Supplier trade account	30-day terms that line up with progress claims
Line of credit	Several jobs a month with overlapping needs
Working capital loan	One large job with a defined payment schedule
Invoice finance	Commercial work invoiced on terms

Curious where you would stand? Ask us directly. Enquiring leaves your credit file untouched, and you will hear back from someone who has actually read what you wrote.

Reduce the gap at the source

1. Ask for a deposit that covers materials on larger residential jobs.
2. Order materials in stages instead of all at once.
3. Negotiate trade terms with your main suppliers.
4. Lodge progress claims promptly and correctly.
5. Follow up overdue claims the day after they are due.

State security of payment laws can help subcontractors get paid on construction work. Small business commissioners can also assist with disputes.

Watch the margin on materials

Rising material prices can eat the margin on fixed-price jobs. Build price-rise clauses into quotes where you can, and avoid funding jobs that will not cover their materials and finance costs.

For industry-specific guidance, see construction and building and electricians, plumbers and trades.

In a nutshell

• Materials are paid for long before the job pays
• Line of credit, short loan or supplier terms can bridge the gap
• Deposits and progress claims reduce the funding need
• Match funding to the job’s payment schedule

How the process runs

You send a 60-second enquiry with the amount, the purpose and a few facts about the business. A real person reads it, usually the same business day, and calls to fill in the gaps. For unsecured options they will ask for recent business bank statements, which can normally be shared through a secure read-only link. For property-secured options they will ask about the property and what is owed on it, with no valuation needed. You then see the offer in plain terms, including the total cost, and decide whether to go ahead. A credit check happens only at that point. If something about your situation is unusual, say so early; it is far easier to plan around a known issue than a surprise.

A quick test before you borrow

Good borrowing has a job and an end date. Before you enquire, write down in one sentence what the money is for and how it will be repaid. If that sentence is easy to write, you are probably in the right place. If it is not, it is worth a closer look at the business’s cash flow before taking on new repayments.

Getting your details together

A short checklist before you send the enquiry. None of it takes long, and together it heads off the most common causes of delay:

• Know the amount you need and what it will pay for.
• Check your recent bank statements so nothing in them surprises you.
• Note any loans, leases or payment plans the business is carrying.
• If you own property, know who is on the title and what is owed.
• Make sure every director or co-owner knows you are applying.

Getting the enquiry right

Think of the enquiry as the brief for your funding. A clear brief gets a fast, accurate answer. Give the amount you genuinely need, the revenue your bank statements will show, an honest view of your credit and a straight yes or no on property, and we can match you to the right option on the first attempt.

Check your eligibility

Have a figure in mind? Put it in the enquiry. There is no credit check for asking, you will not be passed around a panel of lenders and you will speak to someone who has read your answers. Take a moment to get those answers right. Accurate details about revenue, time trading and credit mean we can match you properly first time, without the back and forth.