$1.5 Million A/R Facility Supports Texas Specialty Contractor’s Growth

The Situation:

A Texas-based specialty contractor providing crane operations, structural steel services, and piping fabrication needed additional working capital to support a growing project pipeline. Serving commercial, municipal, and industrial customers, the company billed through both progress billing and time-and-material arrangements. It needed a flexible financing solution to bridge customer payment cycles while covering bi-weekly payroll and ongoing project expenses.

The Solution:

Referred by a banking partner, SouthStar Capital structured a $1.5 million Accounts Receivable financing facility around the contractor’s eligible receivables. The facility allows the company to access working capital tied up in outstanding invoices, providing liquidity to support payroll, operating expenses, and expanding project needs.

The Result:

With the facility in place, the contractor has access to additional working capital to help keep projects moving and support continued growth. The transaction also demonstrates how SouthStar works alongside banking partners to provide financing that addresses clients’ evolving cash flow needs.