Miami general contractors and subs typically run $100,000 to $1,000,000 or more a month in deposits during an active project — comfortably above the $50,000 threshold that marks our core placements, and often past the $20,000 to $200,000 range that covers most deals in other industries. The cash problem is rarely profitability. It's timing: mobilization costs land before the first draw is ever submitted, retainage of 5% to 10% gets held on every draw for months after the work is done, and change orders are frequently funded by the contractor before they're formally priced and approved.
Miami's development mix makes this sharper, not softer. Dense commercial and residential projects, condo and hospitality builds, and hurricane-code compliance retrofits all carry permitting timelines that can stretch a project's cash needs past what the original schedule assumed. Layer in a post-storm rebuild cycle, and a general contractor can be carrying more than one project's worth of timing risk at once.
For most construction businesses, bridge financing or a receivable-backed structure fits better than a merchant cash advance. Draws and retainage are tied to specific, documented milestones, not daily deposits — the financing should match that shape, not fight it.
Deposits on an active Miami project commonly run $100,000 to $1,000,000 or more a month, driven by contract size more than by profitability. The friction isn't whether the project will eventually make money. It's where the cash sits, at any given moment, relative to what's already been spent on labor and materials.
| Stage | What it costs | When payment actually arrives |
|---|---|---|
| Mobilization | Crew, equipment staging, initial material buys | Often due before the first draw is even submitted |
| Progress draws | Ongoing labor and materials | Submitted monthly, paid on a cycle commonly running 30–45 days after submission |
| Retainage | 5%–10% of every draw withheld | Released at substantial completion or later, sometimes months past closeout |
| Change orders | Additional scope, often started immediately | Frequently funded by the contractor before formal pricing and approval |
Because profit and cash are two different questions on a project. Payroll and material invoices are due weekly. Draws land monthly, after submission and review, and retainage on every one of those draws is already gone before the contractor sees a dollar of it. Illustrative example: a general contractor with a $600,000 draw approved for the month, less 10% retainage, nets $540,000 — arriving weeks after the crew and suppliers were already paid out of pocket. The project is profitable on paper. Friday's payroll still needs to clear before the draw does.
Most Miami contracts hold 5% to 10% of every draw as retainage, and it's standard for that money to sit until substantial completion — sometimes months past the point the physical work is finished, longer if punch-list items or a final inspection are pending.
| Month | Draw submitted | Retainage held (10%) | Net paid to GC |
|---|---|---|---|
| Month 1 | $500,000 | $50,000 | $450,000 |
| Month 2 | $500,000 | $50,000 | $450,000 |
| Month 3 | $500,000 | $50,000 | $450,000 |
| Cumulative through Month 3 | $1,500,000 | $150,000 held until closeout | $1,350,000 |
That $150,000 is real money, contractually delayed rather than money at risk — which is exactly why it can be financed against rather than simply waited on.
Usually bridge financing or a receivable-backed structure, timed to a specific draw, retainage release, or contract milestone. A merchant cash advance remits against ongoing deposits, which fits a sub with steady daily revenue far better than it fits a GC whose income arrives in monthly lumps.
| Merchant cash advance | Bridge / receivable-backed financing | |
|---|---|---|
| Structure | Purchase of future receivables, remitted from ongoing deposits | Capital timed to a specific draw, retainage release, or milestone |
| Fits best | Small subs with steady daily card or ACH deposits | GCs and subs waiting on a draw, retainage release, or change-order approval |
| Repayment | Percentage of ongoing deposits | Tied to the specific milestone the financing was timed against |
| Why it matters here | Daily remittance can strain a project running on monthly draws | Matches construction's actual cash rhythm |
A high-rise in Brickell, a warehouse build-out in Doral, and a renovation in Coral Gables draw on the same retainage math even though the projects have nothing else in common. What changes by submarket is the permitting timeline: hurricane-code compliance work — impact glass, roof upgrades, structural retrofits — routinely adds review cycles beyond a standard build, and post-storm rebuild demand can keep permitting offices backed up for a year or more after a season ends. None of that shows up in the contract price. All of it shows up in how long the cash is tied up before a draw clears.
Construction sits at the higher end of what we place. Core placements start at $50,000 or more a month in deposits, and active construction businesses commonly run well past that, into six and seven figures a month depending on how many projects are live. Deal size scales with contract size — the underwriting follows the draw schedule, not a flat formula.
of small business financing applicants nationally received the full amount they sought, per the Federal Reserve's 2026 Small Business Credit Survey — 22% received none. Clean draw schedules and documented retainage terms are what typically move a request toward the first group.
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When not to take capital. Financing a change order that hasn't been priced yet is a bet on approval, not a guarantee — get scope and price confirmed wherever the schedule allows it. And stacking bridge financing against a retainage release that's already earmarked to close out a different project just moves the shortfall down the calendar instead of solving it. If two jobs are both leaning on the same release date, that's a scheduling problem financing alone won't fix.
Construction funding, sorted — from Brickell. Tell us what's holding up the project — a draw, a retainage release, or a change order — and get a straight read on what actually fits.
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Under $20K a month in deposits? Most of what's above is priced for businesses doing $50K or more a month in deposits — that's the core of what we place. Funding doesn't stop below that line, though; the structure just changes. There's a program built for exactly your revenue level, and the same rule applies either way.
See what you qualify for →Handled through a funding partner. No upfront cost, and we're paid only if it funds.