In the Permian Basin, crews and trucks get paid weekly and operators pay on their own schedule. Working capital closes that gap: $25,000 to $5,000,000, funded in as little as 24 hours.
Apply Now →Midland is the county seat of Midland County in West Texas, and it sits in the Permian Basin, a major center for American oil and natural gas production. At the 2020 census, the city had 132,524 residents, and the metropolitan area had 169,983. The Permian Basin itself, in West Texas and far southeast New Mexico, is the highest-producing oil field in the United States, averaging 4.2 million barrels per day in 2019 according to the basin's Wikipedia entry.
Around a field like that, a wide supply and service economy forms: oilfield service companies, equipment and parts suppliers, haulers, and the restaurants, hotels and shops that serve field crews.
| Business | Weekly cost | Typical wait |
|---|---|---|
| Service company | Crew wages, fuel, consumables | Payment after job close-out and invoice approval |
| Parts and equipment supplier | Inventory carrying cost | Net terms with operators or contractors |
| Oilfield hauler | Driver pay, fuel, maintenance | Settlement after delivery tickets are reconciled |
| Hotel or restaurant | Staff and supplies | Revenue tied to crew schedules |
The pattern is the same everywhere: the work gets paid for first, the invoice is paid later, and activity levels in the field can change faster than a small firm can adjust its costs.
Oil-and-gas activity moves in cycles that no individual business controls. That makes it wise to plan working capital around a downturn rather than the busiest month. Ask yourself: if my largest customer cut back for eight weeks, how many weeks of costs could I cover? The answer tells you whether you want working capital as a cushion, and how large the cushion should be.
For illustration only, a hauling firm with $30,000 in weekly costs and a customer that pays on a six-week cycle is carrying around $180,000 at all times. If that customer slowed to a nine-week cycle, the carrying cost would rise by roughly $90,000 with no change in sales.
For a truck, trailer or piece of machinery, see equipment financing in Midland. For recurring draws, a line of credit may fit better.
Oilfield customers tend to be organized, and so should you be. Keep a current list of open invoices with the customer, amount and due date, plus a list of your fixed weekly costs. Those two lists answer most of what you need to size working capital. A funder can then respond to a real figure instead of a guess. If you also track how long each customer has actually taken to pay over the last year, you can see which accounts create your gap, and which you could adjust through terms or deposits before you borrow at all.
The application takes about five minutes and uses a soft credit pull. Sole proprietors can apply. Funding runs from $25,000 to $5,000,000 and can arrive in as little as 24 hours. Start here, or review Permian Basin funding, Midland County and same-day funding.
Crew wages, fuel and consumables are paid weekly, while operators pay after job close-out and invoicing.
Multiply weekly costs by the number of weeks your slowest customer takes to pay, then plan for a longer wait in a slow cycle.
According to its Wikipedia entry, it is the highest-producing oil field in the United States, averaging 4.2 million barrels per day in 2019.
They apply the same way. Their income follows the crews' work schedules.
In as little as 24 hours after a five-minute application.
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
