SUPPORT & SALES 1-866-TEXTURA (839-8872) Textura® - Australasia Textura® - United Kingdom

Oracle buys Textura   LEARN MORE



Subcontractors Welcome Early Payment Programs

The Textura Early Payment Program™ (EPP™) is an innovative solution to one of the construction industry’s longstanding challenges. Under traditional construction financial processes, subcontractors often face long and unpredictable gaps between invoicing and payment. While they await payment, subcontractors still have to pay for materials, labor and other project expenses, and funding this gap can be expensive and challenging. The worsening financing environment for small and medium-sized enterprises is complicating this situation further.

The Early Payment Program is a pioneering arrangement between Textura® and financial services company Greensill Capital. Designed specifically to tackle the construction industry’s unique financial challenges, EPP enables general contractors to use third-party funding to offer subcontractors the option to be paid earlier - as soon as a few days after invoice approval. The program leverages supply chain finance techniques to reduce subcontractor payment waiting times and provide known payment timing, improving cash flow and working capital management.

Subcontractors enrolled in an EPP say it has provided faster payment, eased cash forecasting and increased their opportunity to take advantage of early-pay discounts with suppliers. Here’s just a sampling of what subcontractors have to say about the benefits of such general contractor-offered programs:

“With quick and predictable payment, we don’t have to take on the risk that comes with borrowing to fund our materials costs,” said Bob Pollock, president of commercial flooring company Continental Interiors.

“The program has improved our cash flow tremendously! Receiving payment so quickly after submitting an invoice is very significant for our business, helping support our growth and continued success,” said Leigh Ann Barga, controller at Muncie, Indiana-based Delaware Glass & Mirror.

“We’re getting paid significantly faster, I don’t have to wonder when a payment will arrive, and taking advantage of the early payment option is less expensive than using credit," said Ron Montbleau, President/Owner of woodwork and custom furniture makers Montbleau & Associates.

“We’re very happy with the Early Payment Program! We’re getting paid much sooner when using the program, and knowing when a payment will arrive makes it easier for us to manage our cash flow,” said Debbie Kolhagen, financial controller at civil and structural engineering contractor Haines Gipson & Associates Inc.

“The Early Payment Program brings much needed consistency into the payment process. We’re getting paid much faster with EPP, and knowing the date of payment really helps us manage our cash flow,” said Matt Wilcher of Ada, Okla.-based National Coating Restorations, a company specializing in commercial painting and coating.

“Not holding up cash flow is huge in this business…EPP is a win-win for everybody,” said Cindy Pitts, co-owner of Reno, Nev.-based excavation contractor F & P Construction. She noted F & P has been able to receive payment 45 to 60 days sooner when participating in EPP compared with non-EPP projects generally.

“Accurate cash forecasting and budgeting are important, and the program is a big help by providing certainty around payment timing,” said Cindy Bucci, Controller at Detroit Spectrum Painters.

“As a small business owner I wear many hats, so I welcome the ease of participating in the program. Enrollment was simple, and now we’re getting paid quite a bit faster, which helps our cash flow,” said Warren Weaver, Owner of Weaver Construction.

Interested in learning more about the Early Payment Program? Check out these frequently asked questions or read our white paper on supply chain finance programs in construction.

Want more?

  • Connect
  • LinkedIn
  • Twitter
  • Facebook
  • YouTube

Copyright © 2016, Oracle and/or its affiliates. All rights reserved. Oracle and Java are registered trademarks of Oracle and/or its affiliates. Other names may be trademarks of their respective owners.
Intellectual Property Notice