Updated about 10 years ago on . Most recent reply
Contractor Self Funding for Flips
I've had an idea running through my head for a few days now. I would like your feedback. I am a custom cabinetry sub-contractor in Los Angeles that has been part of several high end flips. And by part, I mean that I was hired by a general contractor, I had no skin in the game.
I've haven't lead any flips but I have learned that funding is usually the key component for a deal.
For my high end Los Angeles flippers, or flippers anywhere out there, would you be more likely work with a custom cabinet contractor if they financed their own end of the deal?
Our jobs usually range from 15K-75K.
And if you as an investor would be more likely to work with a subcontractor that financed their own work, what type of interest rate do you think could be commanded? Equivalent to traditional financing or hard money rates?
I appreciate any feedback as I am just trying to find another way to provide creative financing in exchange for more work for my company.