Thousands of current and former clients have used Interstate Capital’s factoring services to grow their companies. They may have started as small family-owned businesses, but something happened when they began selling their accounts receivable to close the gap between completing a job and getting paid for it. They had access to working capital they didn’t get before – and they were able to expand.
Being able to have the funds they earned 30, 60, or even 90 days before their customers paid them meant greatly improved cash flow and money in hand for new opportunities. With these new advances on unpaid invoices, these clients could start to invest in their own futures.
One of these clients is Interstate Capital’s longest client relationship. Eagle Hauling has been factoring invoices with Interstate since 1994, a year after Interstate opened its doors. At that point, the family-owned company had already been in business almost 20 years, but factoring enabled them to pursue more jobs locally and move on to regional work as well. Today that once-small company factors more than $6 million a year with Interstate.
Now Eagle Hauling is run by a sister and brother team who continue to employ other relatives in the family’s trucking business. The company specializes in hauling construction materials, including rock, dirt, cement, sand, and gravel. While Eagle has local roots, through its excellent work for large project contractors, they got hired for more out-of-town jobs. During the oil boom, they sent trucks and drivers to handle good-paying oilfield services projects. More recently they keep their trucks moving with highway construction and other major projects.
In the construction industry, customers typically take longer to pay and 45-day and 60-day terms can be the norm. Meanwhile, Eagle had to cover payroll, equipment leases, fuel, and other expenses. Factoring those longer-term contracts gave the family access to the money that they had earned right away – money they could use to purchase needed equipment and keep everything in good repair.
Over the years, Interstate Capital and Eagle have enjoyed both a working relationship and a friendship. “The owners are great people,” says Interstate Capital’s vice president. “They couldn’t be nicer and they deserve the success and growth that they’ve had.”
Interstate Capital management and staff are both humbled by the trust and loyalty that Eagle Hauling has placed in their services and proud to have served as their partner for growth over all these years. For Interstate Capital, relationships like these are the cornerstone of Interstate’s mission to help small businesses become larger businesses.
When you’re ready to grow your company, contact us. Click here for a free cash flow assessment.