What are Government Contracts?
Government contract financing funds federal, state, and local contracts, covering payroll, materials, and upfront costs until government payment arrives (often 30-90+ days). Works for prime and subcontractors.
| Cost of Capital | Rates from Prime + 2% to 8% |
| Funding Timeline | Approval in 5-10 business days, funding 10-20 days |
| Best For | Prime contractors on federal/state/local contracts, Subcontractors waiting on prime or government payment, Businesses with GSA, DoD, or state contracts, Contractors managing retainage structures, Vendors to government agencies |
How It Works
Government contract financing bridges the timing gap between contract performance and government payment (often 30-120 days). This covers upfront materials, labor, payroll, and project costs without depleting working capital. Works for federal, state, and local contracts, as well as subcontractors. This solution is essential for contractors competing in government space—government clients prefer contractors who can fund their own projects without requesting advance payments.
Key Features & Benefits
Financing facilities from $250K to $50MM+
Up to 90% advance on contract value
Approval in 5-10 business days, funding 10-20 days
Rates from Prime + 2% to 8%
Works for prime contractors, subcontractors, and vendors
Covers federal (GSA, DoD), state, and local contracts
Options: contract factoring, asset-based, credit lines
Flexibility for retainage structures
USA and international contract support
Government Contracts - Common Questions
Get answers to the most common questions about government contracts
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