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Types of Capital for Construction Businesses

Levelset

Several different types of capital — working capital , debt capital , and equity capital — are common in the construction industry. For most businesses, working capital will be front of mind, but debt capital and equity capital serve important purposes as well. Debt capital. 3 types of capital for construction.

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Ilke Homes files administration notice

Construction Enquirer

Ilke and its advisers have been exploring fundraising options and the existing backers hope to secure a future for the business via a sale or investment, to enable it to deliver on its 4,200-home pipeline and protect its workforce. Just six months ago, ilke raised a record-breaking £100m from new and existing shareholders.

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Key Financial & Safety Metrics for Subcontractor Qualification 

Autodesk Construction Cloud

Formula: (Cash and Cash Equivalents + Marketable Securities + Accounts Receivables) / Current Liabilities . FINANCIAL RATIOS: DEBT . Debt Ratio . Debt Ratio measures the extent of a company’s leverage. It can be used to determine the proportion of a company’s assets that are financed by debt. Debt-to-Equity

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What You Should Know Before Taking a Construction Loan

Construction Marketing

The construction loan approval process is usually very rigorous, since the loan isn’t secured and doesn’t involve collateral. Find out if you can use your land equity towards your down payment, how they pay construction draws, and if the contractor can request a draw to cover material costs.

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Increasing Home Values Lift 1 Million Homes from 'Underwater' Status

Pro Builder

Home value increases have taken more than 1 million homes out of an “underwater” status, meaning the loans secured by the property were 25% higher than the home’s market value. On the flip side, “equity-rich” homes that have a value at least double the loan balance, increased by 4.2 cbroderick. Fri, 08/06/2021 - 09:23. Read More. .

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Phases of Commercial Real Estate Development

Construction Marketing

You must secure financing for the project. Developers must understand the various financing options, such as traditional bank loans, private equity, and government programs. The developer may also be responsible for arranging to finance the project, which can consist of a combination of equity and debt.

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Gen Z May Surpass Millennials in the Homeownership Race—Here’s Why

Pro Builder

Because of their negative experiences, millennials questioned if they needed to own a home, avoiding taking on debt and making equity investments, Ben-Shabat said. While 87% of Gen Z answered that they would like to own a home in the future, just 63% of millennials had the same aspiration. The next generation has the opposite view.

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