Home Contracting Projects
Case Overview
Reason: Upcoming Projects
Funding Amount: $200,000
Approval Amount: $200,000
Industry: Home Renovations
Use of Funds: Business Stability
Program Type: Line of Credit
The Story
Ivan joins us once again to dive into a recent funding deal he was able to secure for a client. He discusses the client's need to secure an interest forgiveness program, what their main goals were, and how they were able to double their profit margin.
The Details
The Client
The client is a home development company based in South Carolina.
They had an existing relationship with a line-of-credit provider but sought better financing options to improve their cash flow and profit margins.
The Situation
The client wanted to increase profit margins by reducing upfront costs for materials and construction.
Their current lender offered only partial interest forgiveness tied to early prepayment incentives.
The client needed a more flexible interest forgiveness program that would charge interest only for the time funds were actually used.
The existing lender required updated financial documentation that the client had not yet provided, creating a barrier to funding.
The Solution
We secured an interest forgiveness program on a term loan that forgives all interest for months when funds are unused, meaning the client only pays for accruing interest during the actual use period.
Through our strong lender partnerships, we helped waive certain documentation requirements to expedite funding approval.
We prioritized transparency by reviewing the loan terms line by line with the client, ensuring no hidden fees or surprises, which built trust and credibility.
We provided $200,000 in working capital, allowing the client to cover upfront construction and material costs and complete projects faster.
Since working with us, the client has completed two to three projects per loan cycle, with improved cash flow and doubled profit margins due to the interest forgiveness structure.