The Contractor Fight with Tom Reber TCF1067: Cashflow Survival Guide for Contractors with Kortney B. Farhat
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Oct 23, 2025 Kortney B. Farhat, founder of Coastal Kapital and finance expert, joins to share critical cashflow survival strategies for contractors. They discuss why cashflow management should take precedence over profit, especially during economic downturns. Kortney highlights creative financing options, including leveraging equipment as collateral, and offers insights into smart tax strategies like Section 179. She stresses the importance of maintaining client relationships and effectively communicating with creditors to navigate tough times.
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Shutdowns Trigger Wide Cash Ripples
- Government shutdowns and federal furloughs create large ripple effects that delay projects and payments to subcontractors.
- Contractors at every scale must plan for pause, not assume continuity of receivables.
Use Collateral Before You Need It
- If SBA access is limited, pursue alternative lending and collateralized refinances using equipment or vehicles you already own.
- Ask early, before receivables are late, so you can keep paying your crew and avoid scrambling.
Prioritize Cash Flow And Visibility
- Prioritize cash flow over profit during slow periods by monetizing existing assets and tightening expenses.
- Be visible to clients and communicate proactively so you're not forgotten when projects restart.