A contractor in Petaluma asked, “Does GoGreen Business offer progress payments or pre-funding?”
Yes! Most GoGreen Business finance companies offer some form of progress payments or pre-funding. As you may already know, many financing agreements are structured to pay contractors a lump sum of the total amount when the entire project is completed. This can be burdensome to contractors when, for example, they have to front the costs on a long-term project.
With progress payments and pre-funding, the contractor receives partial payments after the completion of predefined stages of the project rather than waiting until the very end to receive payment in full. Progress payments assist contractors with maintaining cash flow throughout the project, which can be especially helpful to ease financial burdens on contractors when they are fronting project costs ahead of long project timelines.
The good news is that many GoGreen Business participating finance companies offer some form of progress payments or pre-funding so that contractors don’t have to operate out of pocket while completing a project. Progress payments are tied to milestones, with many lenders releasing 30% – 50% of the total project cost to contractors up front or at the purchase of equipment. Some lenders also offer pre-funding of up to 95% of the total project cost with a credit check of the contractor.
Visit our Financing Options page to see what options are available to you and to get in touch with participating finance companies!