A contractor's crew is paid every week and the job is paid every month. The distance between those two calendars is what this page is about.
Apply Now →| Item | Frequency |
|---|---|
| Crew payroll | Weekly |
| Materials from suppliers | Within days to a month |
| Draw from owner or general contractor | Monthly or at milestones |
| Retainage release | At project end |
| Quarterly wage report and unemployment tax | Last day of the month after quarter end |
Any contractor in Brownsville, the largest city and county seat of Cameron County, sits between these calendars. The city had 186,738 people at the 2020 census and covers about 145 square miles on the western Gulf Coast.
Quarterly wage reports and unemployment taxes are due to the Texas Workforce Commission by the last day of the month after quarter end. Private Texas employers can choose to carry workers compensation, as it is not required in most cases, according to the Texas Department of Insurance. Whether to carry it is a decision with real cost and real risk for a business whose crews work with heavy equipment. We do not give insurance advice, but the premium belongs in your cash plan if you carry it.
A six-person crew costs $9,000 a week in wages. A job with a monthly draw of $75,000 requires the contractor to pay four weeks of wages, $36,000, plus $18,000 in materials before the draw arrives, so $54,000 in total. If the draw is delayed by a week, add another $9,000. The profit shows up on the draw date, but the account must carry the cost until then. These numbers are invented and are not our terms.
Funding runs from $25,000 to $5,000,000, with funds possible in as little as 24 hours after approval. The application takes about five minutes with a soft credit pull, and sole proprietors can apply. For trucks and tools see equipment financing. For the payroll gap see working capital. Contractors who also haul material may relate to drayage and logistics timing. Residential remodeling is a segment where we do not promise funding.
One practical point on sizing: the amount to ask for is rarely the contract value. It is the largest cumulative shortfall at any point between now and the next draw, plus a modest cushion for a late approval. A contractor running two jobs at once should compute the shortfall for both together, because the weeks overlap and the account is shared. Writing the number down before the conversation keeps the request tied to a specific payroll and supplier schedule rather than to optimism about the draw date.
Not in most cases. Private employers can choose to carry it, according to the Texas Department of Insurance.
By the last day of the month after quarter end, for quarterly unemployment wage reports and taxes.
Add payroll and materials until the draw is expected, add a week for delay, subtract cash on hand.
Yes. Sole proprietors can apply, with a five-minute application and a soft credit pull.
In as little as 24 hours after approval, from $25,000 to $5,000,000.
Three months of business bank statements and a 5-minute application. FICO 500+ considered. $25,000 to $5,000,000, funded in as little as 24 hours.
Apply Now →It takes about two minutes and it will not affect your credit score.
No obligation • No impact to your credit score
