Small Business Case Study: Cadax Services Techniques

Cadax Services Techniques is a Quebec based firm providing surveying and technical services for large infrastructure projects, including highways, bridges, and tunnels. The business works on major construction contracts where precision and reliable field capacity are essential.

Infrastructure contracts are long and large in scale. The bigger the contract, the more crew the business puts in the field, and the more cash goes out before any payment arrives. Combined with extended payment terms, money consistently leaves the business faster than it comes back in.

The company's existing credit line was not sized to match its contract volume, leaving a gap between day to day operating costs, including fuel and payroll, and the revenue still tied up in receivables.

Merchant Growth provided financing to bridge the gap between project spending and client payments, giving the business working capital to cover fuel, crew, and other day to day costs while invoices were outstanding.

Once the application was underway, funding came through quickly, without the lengthy review process the business would have faced with its financial institution.

With financing in place, Cadax Services Techniques:

•       Covered operating costs while awaiting client payments
•       Continued taking on large infrastructure contracts without cash flow strain
•       Kept crews working through the busiest part of the season
•       Reported a strong year with steady project volume

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