[Steven_O]

Good Morning DF, I am looking to refer some business today.

I have 4 contractors in the HOUSTON and SOUTH FLORIDA areas who have secured contracts from individual counties (and backed by FEMA) for a total of $13 million, for clean up and restoration. These contracts are on a 90 day payment term, and are listed on the contracts that they have provided the contractors.

Each contractor is seeking approx $100k each month for 3-4 months (total of $300-$400k) for the purchase of materials and labor costs.

Is there anyone who funds/lends against these types federally backed contracts?

Call me.

Steven
786-712-4900

[Jstarr]

the problem is they are only " Contracts" and they can be cancelled, and im not sure FEMA is willing to factor. or divert payments.

[Steven_O]

the problem is they are only " Contracts" and they can be cancelled, and im not sure FEMA is willing to factor. or divert payments.

I have to verify that the contracts can be cancelled once they have been awarded to a contractor. And, it would be the contractor who would take on the responsibility to payback the advance/loan... not FEMA (who would be responsible to pay the contractor on the agreed net 90 terms).

[mcaguru]

their is a company that front capital against government contracts

[Jess]

I have to verify that the contracts can be cancelled once they have been awarded to a contractor. And, it would be the contractor who would take on the responsibility to payback the advance/loan... not FEMA (who would be responsible to pay the contractor on the agreed net 90 terms).

Odds that FEMA pays any contractor within 90 days. ZERO

[ABL Rob]

Hi Steven. I'll send you a message.

[HDF]

their is a company that front capital against government contracts

Who might that be Marcus?

[Kevin Henry-Seacoast]

Who might that be Marcus?

I used to know one in NY, but their name escapes me. Pretty steep rates. You would be better off financing the receivables, but the contracts probably read pay when paid by FEMA. That being said you will have to go out way over 120 days. We would not touch it as it is construction related. I spoke to a Company in New Orleans about 6 months ago. They finally got paid 800K from FEMA related contracts from Katrina.....