Swiftbank Lenders, a small-business funding service in Grand Forks, North Dakota, explains funding for contractors and builders: working capital for crews and materials, lines of credit for progress billing, and equipment financing for trucks and machines. This page covers retainage, cash-flow fixes, what partners review and Grand Forks County construction counts from the Census Bureau.
| Construction employers, county | 212 (CBP 2023) |
|---|---|
| Construction employees, county | 2,034 (CBP 2023) |
| Construction businesses without payroll | 369 (NES 2024) |
| Housing units permitted, county, 2025 | 186 (BPS) |
Lumber, Payroll, Draws: A Contractor's Cash Path
A construction job runs on borrowed time. Materials are bought or charged at the supplier, crews are paid every week or two, equipment burns fuel and needs repairs, and the customer pays only when a phase is complete, inspected and invoiced. On commercial work, part of every payment can be held back until the end of the project.
That is why a working capital need on a construction job does not by itself mean a business is doing badly. A contractor taking on bigger jobs carries more cost before each draw, so the gap can widen with the size of the job.
"Contractor Loan" Usually Means One of Three Things
No lender sells one product under that label. 'Contractor loan' can mean one of three things: short working capital to carry payroll and materials, a revolving line of credit drawn and repaid around progress billing, or equipment financing for trucks, trailers and machines. Business loans for construction are matched to which of those three problems you have.
Retainage in a Construction Contract, With Numbers
Retainage is a percentage of each progress payment that the owner or general contractor holds until the job reaches completion. The percentage and release terms are set by the contract. For a subcontractor, retainage means profit you have earned sits in someone else's account for months.
Worked numbers, hypothetical (not an offer)
A drywall subcontractor bills $60,000 across three phases, and the contract holds back 10%. The sub receives $54,000 as the job progresses, while $6,000 waits until final completion. If the crew's wages and materials were close to $54,000, there is almost nothing left to start the next job. Funding sized to the retained amount, or a line drawn against it, keeps the next crew working.
Five Habits That Improve Cash Flow for a Construction Business
- Bill promptly at each milestone, with the paperwork the payer needs to approve it.
- Ask for a deposit or mobilization payment before materials are ordered.
- Track retainage by job and chase releases when the punch list is done.
- Match equipment payments to the equipment's working life, not to a short-term product.
- Keep a line of credit open for gaps that repeat, rather than reapplying each time.
Construction in Grand Forks County, ND: The Census Counts
County Business Patterns counted 212 construction employers in Grand Forks County for 2023, paying $174.1 million to 2,034 employees. Of those, 52.4% ran with fewer than five on payroll. A separate program counted 369 construction businesses with no payroll in 2024 (Nonemployer Statistics); the two counts are different years and methods and are not added together.
| Subsector (NAICS) | Employer establishments | Share under 5 employees | With a 58201 address (ZBP 2023) |
|---|---|---|---|
| Residential building (2361) | 45 | 71.1% | 19 |
| Building finishing (2383) | 36 | 61.1% | 19 |
| Plumbing, heating, air conditioning (238220) | 29 | 34.5% | 10 |
| Electrical (238210) | 25 | 48.0% | 9 |
| Nonresidential building (2362) | 18 | 33.3% | 6 |
Residential permitting rose from 110 new housing units authorized in 2023 to 182 in 2024 and 186 in 2025 (Building Permits Survey, county).
Business Loans for Contractors: What Partners Review
- The latest months of statements from the business account
- A job list or backlog with contract values and expected payment dates
- Accounts receivable and retainage held, by job
- A quote for each machine to be financed
- Your contractor license status (see the North Dakota contractor license guide)
Partners do not publish minimums. A clean backlog with named customers and realistic dates may carry more weight than a large revenue figure alone.
Builders' Cash Flow Between Residential Draws
Home builders and remodelers in the county work in a different rhythm from commercial subcontractors. A homeowner or construction lender releases money at stages such as foundation, framing and drywall, and each draw follows an inspection. Between draws, the builder pays for lumber, trusses and subcontractors. A line of credit drawn at each stage and repaid from the next release matches that cycle; compare it by total dollar cost with a single lump-sum loan sized for the whole house.
With 45 residential building employers in the county in 2023 and 94 residential builders without payroll in 2024 (CBP; NES), which are separate programs and years. Whatever a builder's size, a delayed draw is worth planning for.
Trade Pages, a Truck Post and County Data
Mechanical and electrical trades have their own pages: plumbing and HVAC contractors and electrical contractors. For a full truck purchase, read getting a business loan for a dump truck. County-wide figures for every sector are on the Grand Forks, ND page, and other trades are on the industry index.
