Nashfin’s channel Partner will provide bridging finance and performance guarantees to contractors awarded projects by the government, municipalities and private entities. As part of the offering our construction support services include (material procurement through Massbuild, revolving credit for labour through Standard Bank, cash flow management, monthly income and expenditure, including legal assistance to contractors for the duration of the project.
• The project must be for construction of RDP subsidy housing or infrastructure.
• Schools, roads, storm water, clinics & any other construction projects.
• The awarded RDP subsidy housing project must be over 100 units.
• The rand value of the awarded project must be over R 2 000, 000,00.
Construction Support Process:
• Project accounts
• Material procurement
• Contract administration
• All financial administration
• Programming and scheduling
• Construction management assistance
• Assistance with sub-contractor appointments
• Attendance at the site meetings with the contractor
Advantages of Construction Support
• Financial discipline for the project
• Collateral free finance and credit
• Flexible payment periods on credit facilities
• Credit history with Standard Bank and Massbuild
• Construction management assistance as added value
• Low interest rate on bank loans (currently Prime plus 0.82 %)
• No interest/ delivery stoppage on overdue Massbuild account
• Poor credit ITC does not necessarily affect approval of the deal.
How It Works:
• Our channel partner will then conduct an extensive evaluation process to establish whether you qualify for assistance – both technical and financial
• The qualifying criteria is based on the viability and profitability of the contract, and your own capacity (as the contractor) to meet the contractual requirements
• Once you meet all the requirements and have qualified for financial assistance, you will then have to enter into a “Construction Support Services Agreement” with Nashfin and its channel partner.