The federal government awards about 23% of all government contract to small business owners. On an annual basis, the federal government commits approximately $500 billion in government contracts for research and development, as well as goods, and services. This means that around $115 billions of government contracts are awarded annually to small business
LSI can provide government contract financing for federal, state, and local government contracts. Our programs are also designed for both prime contractors and subs. It’s also always best you work with a company that understands the federal assignment regarding the claims process!
Government contracts come with a varying degree of capital needs. Small businesses incur both upfront and ongoing expenses that can be financed through government contract financing programs.
What this means is, a government contract loan can be structured in many ways, but as always, the details are important, so be make sure they support all of your financing needs.
At LSI we specialize in government contract financing and have the ability to provide support to different contract types. We also can provide mobilization funding, support letters to help strengthen bids for new contracts, and can provide government contract funding for earned but unbilled invoices.
Multi-year government contracts enable small businesses to accurately project future revenues. With accurate projections and budgets, you as a small business owner have the option of securing government contract financing through a variety of structures.