Guide
Winning a large contract is good news that can strain cash. Planning the first ninety days protects both the contract and the business.
✓ Checking what you qualify for does not affect your credit score.
Short answer: Map every cost before the first payment, including hiring, materials, mobilization and subcontractors, and when you can realistically invoice and be paid. Negotiate a deposit, progress billing and short terms, then match funding to each gap: purchase order financing for materials, factoring for receivables or a short advance for general working capital.
Key facts
Related: Practical Business Funding Guides for Canadian Owners · Business Funding Requirements in Canada · Documents Needed for Business Funding in Canada · Business Funding Affordability Calculator (CAD) · Funding Readiness Score Canada: Free 30-Second Check
Winning a large contract is good news that can strain cash. Planning the first ninety days protects both the contract and the business.
List every cost before the first payment: hiring, materials, equipment, mobilization and subcontractors. Then map when invoices can be issued and when they will realistically be paid.
The largest gap usually appears just before the first payment arrives.
Ask for a mobilization payment or deposit, progress billing and the shortest payment terms possible. Large clients often agree to milestone payments if asked early.
Understand any holdbacks and when they will be released.
Purchase order financing, invoice factoring and short-term advances each fit different gaps. Match the tool to the cost: materials for a specific order, receivables awaiting payment or general working capital.
Arrange funding before the contract starts, not when the account is already short.
Do not let the new contract starve existing customers of attention or cash. Keep payments to key suppliers current.
Track the contract's profitability separately.
Large clients and government agencies sometimes pay late. Build several weeks of margin into the plan.
Guides like this one are general education written for Canadian owners. They are most useful when you turn them into a few concrete actions with dates, and revisit them when your numbers change. If funding is part of your plan, the same preparation that makes the plan work, clear numbers and a specific purpose, also makes an application faster and stronger.
Merchant Fund Express reviews Canadian businesses in every province and territory. If you would like a specific answer for your business rather than general guidance, send a signed application and your last four months of business bank statements, or call (305) 384-8391 first to ask a question.
Reviewed by the Merchant Fund Express team on October 12, 2026. Official pages checked as of that date.
It is general education. Your file and agreements are specific, so read them and ask questions.
Gather four months of statements and write what the money is for in one sentence.
Yes. Apply once and the file is matched to the structure that fits.
Educational information only. It is not legal, tax or accounting advice.
Same-day decision. Applying takes a few minutes and will not affect your credit score.
