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Merchant Cash Advance for Construction Companies in Canada

Get Approved for funding
$5K-$300K within 24 hours
4.9 average Facebook reviews
Merchant Cash Advance & Small Business Funding Canada

Banks are in the
business of protecting
their own backsides

You win the contract. You mobilize the crew. You front the materials. Then you wait.

Forty-five days. Sometimes sixty. Sometimes ninety, if the client's approval chain moves slowly or a change order goes into dispute.

In the meantime, payroll runs every two weeks. Suppliers want payment in thirty days. Insurance, equipment, and overhead do not pause because your receivables are sitting in someone else's accounts payable queue.

This is not a cash flow management problem. It is a structural feature of the construction industry that makes even profitable businesses feel perpetually broke. The Canadian Construction Association has documented it. The CFIB reports it annually. And every contractor reading this has lived it.

This page explains how a merchant cash advance from 2M7 closes that gap, what it actually costs, how fast you can access it, and whether your business qualifies. No financial jargon. No bait-and-switch. Just the information you need to make a clear decision.
$650M+
in working capital issued
5,000+
Canadian businesses funded
94%
approval rate
24 hrs
from approval to funded
16+
years as a direct funder

What Is a Merchant Cash Advance for Construction Companies?

A merchant cash advance (MCA) is working capital that a direct funder advances to your business in exchange for a percentage of your future daily deposits. You receive a lump sum now. You repay it automatically over time, as a portion of what your business earns, not according to a fixed monthly payment schedule that ignores what your bank account actually looks like.

For construction companies specifically, this means you can access capital to fund a project start, cover payroll while a large invoice ages, or replace a piece of broken equipment, and repay it at a pace tied to real incoming revenue. With the flex payment option, when cash flow slows because a client is running late, repayments slow down too. That is because payments are tied to actual deposits, not a fixed schedule.When a large payment lands, you pay it off faster.

It is not a bank loan. There is no interest rate, no compounding charges, and no collateral requirement. And unlike a line of credit that takes weeks to establish, 2M7 can put funds directly into your business account within 24 hours of approval.
Important Distinction

What makes this different from a loan?

A loan creates debt that you owe regardless of business performance, with interest that compounds over time. A merchant cash advance is the purchase of future revenue. The cost is fixed and disclosed completely upfront, before you sign. You pay one number, and you pay it down through your daily business deposits. There is no interest. No hidden fees. No collateral.

Compare to other merchant cash advance options

Banks are in the
business of protecting
their own backsides

Why Banks Keep Saying No to Construction Companies?

Banks were not designed for the construction business model. Their credit tools were built around steady monthly revenue, long asset histories, and clean balance sheets, three things that growing construction businesses rarely have in the same column at the same time.Here is why bank financing consistently fails contractors at the moment they need it most:
‍
Project-Based Revenue Looks Wrong to a Bank Algorithm
Construction revenue does not arrive in predictable monthly deposits. It arrives when a project milestone is hit, when a holdback gets released, when a client finally processes your invoice. That lumpy deposit pattern triggers risk flags in bank underwriting systems designed for restaurants and retailers, not subcontractors billing on a percentage-completion basis.

A contractor with $90,000 in monthly average revenue and three months of minimal deposits while mobilizing two large projects will look like a declining business to an automated underwriting system. To anyone who knows construction, they look like a company in growth mode.
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Collateral Requirements Exclude Most Sub-Trades and Smaller GCs
Bank business financing typically requires collateral: real estate, equipment with a clean title, or personal assets. If you are a subcontractor, a specialty trade, or a contractor under five years old without significant property, you often do not meet the collateral threshold. The bank turns you away for not having assets, even when you have a full contract pipeline.
‍
Approval Takes Weeks. Projects Do Not Wait.
A bank business loan or line of credit establishment typically takes three to eight weeks from application to funding. That timeline is incompatible with construction realities. Materials are needed before the project starts. Crew is engaged before the first invoice is out. A three-week bank approval timeline is a three-week delay to the project, which has real dollar costs.
‍
Credit Score Decisions Miss The Full Picture
Banks weight credit scores heavily in their initial screening. A contractor with a 620 score and $80,000 in monthly consistent revenue will often be declined at stage one, before any human has looked at their actual business performance. 2M7 evaluates the real business, not just the score. Monthly revenue, time in operation, contract pipeline, and cash flow patterns all factor into the decision.

According to the Canadian Federation of Independent Business (CFIB), access to financing is cited as a significant barrier to growth by more than 40% of small businesses in Canada. For construction companies, the barriers are compounded by the sector's project-based revenue structure, which traditional lenders are poorly equipped to evaluate.
‍

The Construction Cash Flow Gap, Explained

Before a contractor collects a dollar from a client, they have already paid out a significant portion of the project budget. This is not optional and it is not a cash management failure. It is how construction works.
Cost Category When You Pay It When Client Pays You
Labour and payroll Weekly or bi-weekly Net 30 to Net 90
Materials and supplies Before or at project start Net 30 to Net 90
Equipment costs Ongoing throughout the project Net 30 to Net 90
Subcontractor payments As their work is completed Net 30 to Net 90
Statutory holdback (10%) Released after substantial completion 60+ days post-completion
Every row in that table represents money leaving your account before money comes in. On a $400,000 project, the total outlay before the first real payment arrives can run $150,000 to $200,000. A contractor carrying two or three projects simultaneously is managing this gap across multiple fronts at once.

The Business Development Bank of Canada reports that timing differences between expenses and revenue collection are the primary cash flow challenge for construction companies, ahead of material costs, labour, and financing rates. You are not managing this problem poorly. You are managing a structurally difficult industry.

Banks are in the
business of protecting
their own backsides

How the 2M7 Merchant Cash Advance Works

The process is direct, fast, and built for business owners who do not have time for a 40-page application. Here is exactly what happen sfrom your first inquiry to funds in your account.
‍
1. Apply online or by phone.
The application takes under 10 minutes at 2M7.ca or by calling 1-844-543-9639. You submit three months of business bank statements, a void cheque, and basic business information. No financial statements. No business plan. No asset appraisals.
‍
2. A 2M7 rep calls you, usually the same day.
A real person reviews your file and calls you. Not an automated response. Not a form letter. A funding rep who can ask questions and understand what your business actually looks like.
‍
3. Approval decision within 1 business day.
2M7 maintains a 94% approval rate, the highest published rate of any direct funder in Canada. Bad credit does not automatically disqualify you. Revenue, business history, and cash flow patterns all factor into the decision.
‍
4. You review your offer in full.
The cost of capital is stated completely and clearly before you sign anything. ONe number, no surprises in the fine print. No fees that appear after signing.
‍
5. Funds deposited directly into your account within 24 hours.
2M7 is a direct funder, not a broker. The money comes from 2M7 to you. No middle man. No additional delay waiting for a third party to release funds.
‍
6. Repayment stars automatically, at a pace tied to your revenue.
You choose between fixed or flex payments. Either way, you know exactly what you signed up for before the money arrives.
Real Scenario

A roofing contractor in Brampton wins a $180,000 commercial contract.

Start date: 3 weeks out. Material deposit due: $42,000 within 10 days.

Bank timeline: minimum 3 weeks to approve and fund.

2M7 timeline: application Monday morning. Rep calls Monday afternoon.

Approval Monday evening. Funds in account Tuesday morning.

Project starts on schedule. Materials ordered. Crew deployed. Client invoiced.

What Construction Companies Use 2M7 Working Capital For

There are no restrictions on how you use your advance. The money is in your account and it works for whatever your business needs. Construction companies typically use 2M7 funding for:
Materials Front the cost of supplies, lumber, steel, concrete, or specialty materials before a project starts or before the client payment arrives.
Payroll Cover crew wages when a large invoice is delayed, a client pushes payment, or you are carrying labour costs across multiple active projects.
Equipment repair Get a broken machine fixed the same week without waiting for bank financing approval. Projects do not pause for equipment procurement timelines.
Equipment purchase Fund a down payment on a new piece of equipment without tying up a credit facility or pledging real estate as collateral.
Bonding and insurance Cover insurance deposits, bonding costs, or licence renewals required to secure new contracts.
Hiring Bring on additional crew or trades for a large project without waiting for the first progress payment to cover the labour cost.
Overhead bridge Cover fixed costs (insurance, lease, management salaries) during a seasonal slow period or while mobilizing for a new project.
Growth Bid on bigger work. Front the mobilization costs for a contract that would otherwise sit out of reach, then use the revenue to fund the next one.

Banks are in the
business of protecting
their own backsides

Who Qualifies for a 2M7 Merchant Cash Advance

The qualification bar is low by design. 2M7 was built for businesses that traditional lenders pass over, contractors with solid revenue but imperfect credit, businesses under two years old, and trades that do not own real estate to pledge as collateral.
‍
Requirement What 2M7 Needs What Banks Typically Need
Business location Located in Canada Located in Canada
Time in business 3 months minimum 2 years minimum (most lenders)
Monthly revenue $15,000 per month $50,000+ per month (many lenders)
Credit score Considered, not the only factor 650+ typically required
Collateral None required Real estate or equipment
Financial statements Not required 2 to 3 years audited statements
Business plan Not required Often required for new facilities
Open bankruptcies Must be clear Must be clear
Bad credit does not automatically disqualify you. A contractor with a lower credit score and strong, consistent monthly revenue is regularly approved. The 94% approval rate reflects this. 2M7 looks at real business performance, not just a number generated by how you managed credit cards five years ago.

Payment Options Built for How Construction Actually Works

Most financing products were designed for businesses with predictable, steady monthly revenue. Construction is not that business. 2M7 offers two repayment structures, and you choose the one that fits your operation:
‍
Fixed Payments
A set dollar amount is drawn from your business account automatically on a recurring schedule. You know the exact amount before you sign. If a rough period hits and you need a temporary reduction, you call 2M7 directly and request one. No penalty. No automated rejection. If they can accommodate it, they will, and they have done it before for businesses in good standing.

Fixed payments work well for contractors with relatively predictable billing cycles or those who prefer certainty over flexibility.A real person reviews your file and calls you. Not an automated response. Not a form letter. A funding rep who can ask questions and understand what your business actually looks like.
‍
Flex Payments
Instead of a fixed dollar amount, 2M7 draws a set percentage of your daily deposits. When revenue is strong and payments are landing, you repay faster. When a project is delayed and the account is slow, the payment amount drops automatically, because it is a percentage of what is actually there, not a fixed obligation that ignores your cash position.

This structure was built specifically for businesses with irregular or seasonal revenue. It describes almost every construction company in Canada.A real person reviews your file and calls you. Not an automated response. Not a form letter. A funding rep who can ask questions and understand what your business actually looks like.
‍

Early payoff benefit: If your account is in good standing and you clear your balance early using your own business funds (not another funder), 2M7 takes 10% off the remaining balance.

This is not a discount to negotiate for. It is built into how 2M7 works. Pay it off fast, you pay less.

Banks are in the
business of protecting
their own backsides

Fees 2M7 Refuses to Charge

The cost of working capital from 2M7 is one number, stated clearly before you sign. That is all you pay. Nothing else. 
Fee Type Bank / Traditional Lender 2M7
Interest Compounds over entire term None — fixed cost only
Application fee $200 to $500 typical None
Origination fee 1% to 3% of advance amount None
Brokerage fee 1% to 5% through most brokers None — 2M7 is a direct funder
Collateral / security fee Legal and appraisal costs None — no collateral required
Early repayment penalty Common, sometimes significant None — you are rewarded for it
Monthly maintenance fee Charged by many lenders None
Annual maintenance fee Common on lines of credit None
The total cost of your advance is the one number presented to you before you sign. Add it all up: no interest, no origination, no brokerage, no maintenance, no renewal. Just the cost of capital, disclosed completely, upfront.

2M7 vs. Other Funding Options: The Real Comparison

Not all merchant cash advance providers operate the same way, and MCA is not the right tool for every situation. Here is an honest comparison of what your real options look like for a construction business in Canada:
‍
Feature 2M7 MCA Bank Loan / LOC MCA Broker Invoice Factoring
Type Direct funder Debt instrument Shops your file Sells your invoice
Approval time 1 business day 2 to 8 weeks Varies 3 to 7 days
Funding speed 24 hours 1 to 3 weeks 3 to 7 days 1 to 3 days
Collateral required None YES — often property Depends on funder Invoice is collateral
Credit bar Revenue-first Credit-first Depends on funder Client credit matters
Approval rate 94% published 20 to 40% for SMBs No published rate Varies
Brokerage fee None None YES — 1 to 5% None
Repayment structure % of daily deposits Fixed monthly payment Depends on funder Collected from client
Client relationship Unaffected Unaffected Unaffected Third party contacts client
Top-up access Text rep, 30 minutes Full reapplication New application Per new invoice
Early payoff benefit YES — 10% off Often penalized Depends None applicable
Invoice factoring in particular is worth understanding clearly. When you factor an invoice, you receive roughly 70% to 85% of its face value immediately, and the factoring company collects directly from your client. On a $200,000 invoice, you may receive $150,000 and sacrifice $50,000. The factor also contacts your client directly to collect, which can affect long-term relationships. For some situations it makes sense. For most construction businesses with repeat clients, it creates more problems than it solves.

Banks are in the
business of protecting
their own backsides

What Canadian Contractors and Business Owners Say About 2M7

Sean Morales

"We need funds for a demolition project for our office. These guys got it done in less than 24 hours."

★★★★★
Brady Douglas

"Had the pleasure of dealing with 2M7 and Yakov, who helped our business get approved with funds in my account the next day. Highly recommend for smaller Canadian businesses that might be in a pinch."

★★★★★
Raul Iniguez

"We had an excellent experience with 2M7. Feels like our case was treated as a priority — documents were collected, processed and we received the merchant cash advance in no time. When we need help, the 2M7 team is always available, takes our call promptly, and answers our queries."

★★★★★
Mitul Patel

"Daniel from 2M7 has been an angel and lifesaver for me, and always pulled things together whenever I needed it. 2M7 has been extremely flexible, whenever needed. 10/10."

★★★★★
Any J. Axe

"We have been very satisfied with the service provided by 2M7 over the years. The best thing is that we do not have to worry regarding the repayments if our sales are low. Best of all, the merchant cash advance is not a loan."

★★★★★

Banks are in the
business of protecting
their own backsides

Frequently Asked Questions

This section is structured for clear, direct answers. If you have a question not covered here, call 1-844-543-9639 or apply at 2m7.ca and a rep will walk through your specific situation.
‍
Is a merchant cash advance the same as a loan?

No. A merchant cash advance is not a loan. It is the purchase of a portion of your future business revenue. There is no interest rate, no debt instrument, and no compounding charges.

You pay a fixed cost of capital that is disclosed completely before you sign. The distinction matters because it changes how repayment works: there is no fixed monthly payment divorced from your actual business performance. You repay through a percentage of daily deposits.

How much working capital can a construction company access through 2M7?

2M7 provides working capital from $5,000 to $500,000. The offer amount is based on your monthly revenue and business history.

A contractor generating $40,000 per month in consistent deposits will receive a meaningfully different offer than one generating $15,000. The amount grows over time as your relationship with 2M7 develops, and 80% of customers access additional rounds of funding.

What documents does a contractor need to apply?

Three months of business bank statements, a void cheque, and your basic business information (legal name, business address, how long you have been operating). That is the complete list for most applicants.

No financial statements. No business plan. No equipment appraisals. No letters from your accountant.

Can a construction company with bad credit get approved?

Yes. Credit score is one factor in 2M7's assessment, not the only factor. Monthly revenue, time in operation, and cash flow patterns all carry significant weight.

Contractors with lower credit scores are regularly approved when their business revenue is solid. The 94% approval rate is not possible by filtering out anyone with a blemished credit history.

How does 2M7 handle construction's irregular revenue pattern?

2M7's underwriting team understands project-based revenue. Large deposits followed by quieter periods, holdback-driven payment structures, and milestone billing cycles are all taken into account.

Unlike a bank algorithm that flags irregular deposits as risk, 2M7's review process includes a direct conversation with you about what your business actually looks like. The flex payment option is specifically designed for this: repayment is calculated as a percentage of daily deposits, so payment amounts automatically adjust to match your actual revenue flow.

Can subcontractors apply for 2M7 funding?

Yes. General contractors, specialty subcontractors, sub-trades, and owner-operators all qualify under the same criteria: Canadian business, at least 3 months in operation, at least $15,000 in monthly revenue, no open bankruptcies.

The type of work you do or where you sit in the payment chain does not affect eligibility.

How does the top-up process work once I have an account with 2M7?

Once you are a 2M7 customer, getting additional working capital does not require a new application. You contact your dedicated funding rep directly, by text or phone call to their cell.

If your account is in good standing and the additional amount is approved, funds can hit your account within 30 minutes of that conversation. This is one of the most significant practical differences between 2M7 and both banks and MCA brokers.

Does 2M7 finance cannabis businesses?

No. Cannabis is not an industry 2M7 currently supports. Construction, restaurants, retail, trucking, and landscaping are the primary industries served.

What happens if my revenue drops and I can't keep up with repayments?

With flex payments, the repayment amount automatically adjusts when revenue drops, because it is a percentage of deposits rather than a fixed dollar obligation.

With fixed payments, you can call 2M7 directly and request a temporary reduction if you are experiencing hardship. If the account is in good standing and 2M7 can accommodate the request, they will. This is not a guarantee, but it reflects how 2M7 actually treats its customers.

Is 2M7 a broker or a direct funder?

2M7 is a direct funder. The money in your account comes from 2M7's own capital, not from a third-party lender that 2M7 has sourced on your behalf.

This matters for three reasons: there is no brokerage fee, there is no delay waiting for a third party to release funds, and your relationship is directly with the company that holds your account and can make decisions about it.

Useful Resources for Canadian Construction Companies

The following government, industry, and financial resources provide reliable information for contractors navigating financing, contracts, and compliance in Canada:
‍
Resource Link
Government of Canada: Business Financing Overview canada.ca/en/services/business/start/support-financing
Statistics Canada: Construction Industry statcan.gc.ca/en/subjects-start/construction
Canadian Construction Association cca-acc.com
CFIB: Small Business Research cfib-fcei.ca/research-economic-analysis
Business Development Bank of Canada bdc.ca/articles-tools/money-finance/manage-finances
Ontario Construction Act ontario.ca/laws/statute/90c30
BC Builders Lien Act bclaws.gov.bc.ca — Builders Lien Act (current)

Close the gap between project start and client payment.

Apply at 2m7.ca or call 1-844-543-9639. Approved in 1 business day. Funds in 24 hours. No collateral. No interest.

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