Refinancing in Oregon: What Options Do Construction Companies Have?

Refinancing in Oregon: What Options Do Construction Companies Have?

Yes — Oregon contractors can refinance projects with bridge lines or MCA restructuring to cover payroll, materials, or slow payments in 2026. Check rates in 2 minutes.

The specifics

Bridge lines are the fastest route for contractors in Oregon, offering 12–24 month terms with APRs of 8–15% and requiring a debt‑service coverage ratio (DSCR) of at least 1.25×. Lenders typically look for a fair‑credit FICO range of 620–679, a debt‑to‑income ratio no higher than 40% of gross revenue, and that monthly debt service does not exceed 12% of gross revenue【flexlendcapital.com】【perecredit.com】.

Equipment financing—often sourced through the SBA—provides 48–84 month terms at 9–13% APR, a down‑payment of 15–20%, and a collateral‑based 1–3% rate reduction if the machinery is used as security【oregonsbdc.org】【perecredit.com】. Approval usually takes 30–45 days.

Merchant cash advances (MCAs) carry higher rates (18–25% APR) but eliminate DSCR requirements; repayment is a flat fee against daily invoice receipts【perecredit.com】【flexlendcapital.com】. For contractors with predictable receivables, an MCA can offer predictable cash flow, though at a higher cost.

All these products can be requested using a soft‑pull credit check—no impact on your score【flexlendcapital.com】, and you can see your specific offer within a few minutes by filling out an affordability calculator or testing rates for your locale, whether in Aurora, IL or any Oregon city.

Qualification & edge cases

If your DSCR dips below 1.25× or your DTI climbs above 40%, bridge lines become harder to obtain; in that case, an equipment‑secured loan or an MCA may be the better path. New contractors with under two years of business can sometimes negotiate a lower DSCR (as low as 1.20×) or waive the DTI ceiling if they present a secured pipeline of projects. Contractors with credit below 620 may still qualify but should expect a 3–5% higher APR, larger down‑payments (10–20%), and longer approval times (up to 45 days).

If you already have an MCA, you might refinance into a higher‑rate bridge line to reduce the daily remittance burden; note that most refinances include a 1–2% surcharge of the new loan principal【perecredit.com】.

Background & how it works

A bridge line provides a revolving line of credit that draws against projected project receivables or equipment values, ensuring payroll, materials, or overhead are paid while waiting for invoices. Treasury teams calculate the draw limit using cash flow projections and key ratios, resulting in a short‑term, repayable amount that closes when work invoices are issued.

Unlike a single loan, a revolving line can be drawn multiple times throughout a project cycle—beneficial during seasonal lulls or for surprise bids. MCAs simplify budgeting by combining daily payments into one fixed fee, though costs are higher. Equipment financing, meanwhile, anchors the loan to the machinery, allowing for competitive rates and a longer term.

Bottom line

Oregon contractors can get rapid working‑capital help in 2026 through bridge lines, equipment loans, or MCAs—each with distinct rates, terms, and credit requirements. Find out how much you could qualify for in minutes and secure the liquidity your projects need.

Disclosures

This content is for educational purposes only and is not financial advice. constructionworkingcapital.com may receive compensation from partner lenders, which may influence which products are featured. Rates, terms, and availability vary by lender and applicant qualifications.

Sources

• Flexlend Capital
• PerE Credit
• Oregon Small Business Development Center
• MCA Refinancing Options for Oregon Retailers