SouthStar Capital funded a $5 million accounts receivable financing facility for a growing commercial construction company operating in the Midwest.
With projects billed on progress schedules and customer payment terms extending beyond payroll cycles, the business required a flexible working capital solution to support day-to-day operations. SouthStar Capital structured a $5 million accounts receivable facility to provide access to cash flow tied to outstanding invoices. The facility allows the company to meet weekly payroll, manage active projects and continue scaling operations without disruption from extended payment timelines.
“Construction companies often grow faster than their cash flow,” Michael Haddad, president of SouthStar Capital, said. “This facility gives the client the liquidity needed to stay operationally strong while pursuing new opportunities.”
The financing positions the company to take on larger projects, maintain strong contractor relationships and support continued expansion.
