Best Net Terms Solutions for Building Materials Manufacturing

The building materials manufacturing industry faces a critical paradox: suppliers must offer competitive net terms to win contracts, yet extended payment cycles strain cash flow and expose them to significant default risk. With 82% of contractors now facing payment waits exceeding 30 days and construction firms waiting an average of 96 days to receive payment despite standard Net 30-90 terms, this payment delay crisis demands specialized solutions. Building materials manufacturers require platforms that handle high-value bulk orders, support extended payment terms, and mitigate the risk of late payments or defaults. For manufacturers looking to streamline their financial operations while offering flexible payment terms, Resolve's B2B Net Terms platform provides a comprehensive solution that addresses these specific industry challenges.

Key Takeaways

• Building materials manufacturers face a payment paradox: they must offer net terms to compete for contracts, but 82% of contractors experience payment waits over 30 days, creating severe cash flow strain
• Modern non-recourse financing platforms solve this conflict by advancing suppliers up to 100% of invoice value within 24 hours while customers receive standard 30-90 day terms
• Net 60 and Net 90 terms are common in parts of the building materials and construction supply chain, with larger building materials purchases often requiring extended payment options, making flexible term structures essential for competitiveness
• AI-powered credit assessment and automated AR management reduce administrative burden while expanding approval rates for small/medium contractors who lack traditional credit history
• Seamless integration with existing ERP and ecommerce platforms ensures smooth workflow adoption without disrupting established business processes
• Real-world success stories like Elston Materials demonstrate how strategic net terms management can drive significant sales growth while protecting cash flow

1. Resolve Pay – AI-Powered Non-Recourse B2B BNPL

Resolve Pay offers building materials manufacturers a unique advantage: 100% non-recourse financing that eliminates credit risk while providing instant approvals and 24-hour funding. Unlike traditional factoring or payment processors, Resolve takes on the credit assessment, credit decision, and majority risk of late payments or defaults, allowing manufacturers to offer net terms without jeopardizing their cash flow.

Best For

Building materials manufacturers need to offer net terms without credit risk, with instant approvals supporting high-value bulk orders and established customer relationships.

Key Features

• 100% non-recourse financing eliminates merchant credit risk completely
• AI-powered instant credit decisions with up to 100% invoice advance
• Enterprise ERP integration supporting QuickBooks, Oracle, and leading ecommerce platforms
• Automated AR workflow with payment reminders and collections management
• 24-hour funding cycles that address extended payment term challenges
• Seamless integration with Accounts Receivable with AI-Powered Automation

Building Materials Relevance

Resolve's platform is particularly valuable for building materials manufacturers who need to extend credit to general contractors, specialty trade contractors, and commercial construction firms while maintaining healthy cash flow. The platform's ability to advance up to 100% of invoice value within 24 hours directly addresses the industry's extended payment cycle challenges, where firms wait 96 days on average to get paid.

The non-recourse nature of Resolve's financing means building materials manufacturers can confidently offer competitive payment terms to grow their customer base without worrying about default risk. This is particularly valuable in the construction sector where Net 60 and Net 90 terms are common in parts of the building materials and construction supply chain, and refusing to offer competitive terms immediately disqualifies suppliers from major bidding opportunities.

Customer Validation

Elston Materials, a concrete supplier, achieved significant sales growth by implementing Resolve's platform. The company was able to offer competitive Net 60-90 terms to major contractors while receiving immediate payment, eliminating the cash flow strain that previously limited their ability to pursue large contracts.

Resolve's AI-powered underwriting provides instant credit approvals compared to the multi-day processes typical of traditional methods, enabling building materials manufacturers to respond quickly to customer orders. The platform's automated collections management reduces the administrative burden on AR teams while maintaining professional customer relationships.

2. Balance

Balance specializes in digital trade credit with AI-powered underwriting that approves more small/medium buyers than traditional credit checks. Their platform offers instant buyer approval in seconds rather than days or weeks, with integrated checkout experiences that streamline the ordering process for building materials customers.

Building materials distributors serving small/medium contractors who lack extensive credit history but represent significant growth opportunities.

Key Features

• AI-powered underwriting using alternative data sources beyond traditional credit bureaus
• Instant credit decisions in seconds vs. days/weeks for traditional methods
• Higher approval rates for small/medium businesses
• Integrated checkout experience with white-labeled customer portal
• Risk assumption on all approved buyers eliminates supplier credit exposure

The building materials industry heavily relies on small/medium specialty contractors who often lack the extensive credit history required by traditional underwriting. Balance's alternative data approach unlocks this market segment, allowing suppliers to expand their customer base while maintaining credit risk protection. With 82% of contractors facing payment delays over 30 days, according to industry research on accounts receivable challenges in construction, having a platform that assumes credit risk becomes essential for supplier financial stability.

3. Credit Key

Credit Key offers Net 30 terms with credit lines and supplier payment within 48 hours, though personal guaranties may be required in some cases. Their platform is designed specifically for B2B transactions and offers a streamlined approval process that integrates directly into the checkout experience.

Building materials suppliers focusing on smaller orders and established customer relationships requiring Net 30 terms with reliable payment timelines.

Key Features

• Specialized Net 30 terms with credit lines
• Supplier payment within 48 hours while buyers get standard terms
• Streamlined approval process integrated into checkout
• Risk assumption eliminates supplier credit exposure
• Personal guaranties may be required depending on creditworthiness

Credit Key's model is particularly valuable for building materials suppliers handling smaller, recurring orders where Net 30 terms are standard but payment delays still create operational challenges. Their 48-hour payment timeline provides predictable cash flow while customers maintain their expected payment terms. This addresses the fundamental issue where 55% of B2B invoiced sales in the U.S. are overdue, according to payment delay statistics research, with small businesses waiting an average of 8.2 days beyond agreed terms.

4.  Bill.com

Bill.com offers comprehensive accounts payable and receivable automation with net terms tracking and payment workflow management. Their platform integrates with major accounting software and provides automated payment reminders, approval workflows, and payment processing capabilities.

Building materials manufacturers with established AR processes seeking to add automation and improve payment tracking without completely overhauling their existing systems.

Key Features

• Comprehensive AP/AR automation with net terms tracking
• Automated payment reminders and approval workflows
• Integration with major accounting software platforms
• Multiple payment method support including ACH and credit cards
• Payment status tracking and reporting capabilities

Bill.com's strength lies in augmenting existing AR processes rather than replacing them entirely. For building materials manufacturers who already have credit policies in place but struggle with manual tracking and collections, Bill.com provides the automation needed to manage the increasing volume of net terms customers efficiently. This is particularly valuable given that construction firms wait 96 days on average to get paid, according to research on construction payment cycles, requiring robust tracking systems to manage extended payment cycles.

5. Versapay

Versapay processes $170B+ in payments volume annually and offers enterprise-grade AR automation with native ERP integrations. Their platform provides automated cash application, payment portal functionality, and collections management capabilities designed for high-volume B2B operations.

Large building materials manufacturers and distributors with complex AR needs and high transaction volumes requiring enterprise-grade automation.

Key Features

• Processes $170B+ in payments volume annually
• Native ERP integrations (NetSuite, Sage, Microsoft Dynamics)
• Automated cash application with high match rates
• Customer payment portal with multiple payment options
• Collections management and dispute resolution workflows

Versapay's enterprise-grade capabilities are well-suited for large building materials manufacturers handling hundreds or thousands of net terms customers simultaneously. Their automated cash application reduces the manual reconciliation burden that becomes overwhelming at scale, while their payment portal provides customers with self-service payment options that accelerate collections. This addresses the industry challenge where 55% of B2B invoiced sales are overdue, requiring sophisticated collections management to maintain healthy cash flow.

6. Fundbox

Fundbox provides flexible credit lines and invoice financing specifically designed for small and medium businesses. Their platform offers revolving credit facilities that can be drawn against outstanding invoices, providing working capital flexibility without requiring individual invoice processing.

Small to medium building materials suppliers needing flexible working capital solutions to support net terms offerings without complex per-invoice processing.

Key Features

• Revolving credit lines based on outstanding receivables
• Flexible draw and repayment terms
• Integration with accounting software for automatic invoice syncing
• Quick approval process with minimal documentation requirements
• Working capital access without per-invoice processing complexity

Fundbox's revolving credit model is particularly valuable for smaller building materials suppliers who may not have the administrative resources to manage complex per-invoice financing solutions. Given that 35-45% of small construction contractors regularly work with Net 90 terms for their operations, having access to flexible working capital becomes essential for maintaining operational continuity while offering competitive payment terms.

7. Slope

Slope offers embedded B2B credit and payment solutions designed specifically for ecommerce and digital-first businesses. Their platform integrates directly into online ordering systems, providing instant credit decisions and flexible payment terms at the point of sale.

Building materials manufacturers with significant online sales channels seeking to embed net terms directly into their digital ordering experience.

Key Features

• Embedded credit and payment solutions for ecommerce platforms
• Instant credit decisions at point of sale
• Flexible payment terms including installment options
• Seamless integration with major ecommerce platforms
• White-labeled customer experience maintaining brand identity

As building materials manufacturers increasingly adopt digital sales channels, Slope's embedded finance capabilities enable them to offer competitive net terms directly within their online ordering systems. This addresses the growing expectation among contractors and construction firms for seamless digital experiences that include flexible payment options. With larger building materials purchases often requiring extended payment options such as Net 60 or Net 90, having digital-native credit solutions becomes essential for competitive positioning.

8. Behalf

Behalf provides B2B financing solutions with a focus on small and medium businesses, offering purchase financing that pays suppliers immediately while buyers receive extended payment terms. Their platform specializes in serving businesses that may not qualify for traditional financing due to limited credit history or other factors.

Building materials suppliers serving small/medium contractors and businesses that may not qualify for traditional credit but represent valuable customer relationships.

Key Features

• B2B financing for small and medium businesses
• Immediate supplier payment while buyers get extended terms
• Credit solutions for businesses with limited credit history
• Integration with purchasing and payment workflows
• Risk assumption on approved transactions

Behalf's focus on underserved small/medium businesses aligns well with the building materials industry's diverse customer base, which includes many specialty trade contractors and small construction firms that may not have extensive credit histories but represent significant recurring business opportunities. This addresses the market gap where traditional credit assessment excludes creditworthy buyers, limiting supplier growth potential.

Choosing the Right Net Terms Solution for Your Building Materials Business

Selecting the right net terms solution for building materials manufacturing requires careful evaluation of your specific operational needs, customer base characteristics, and growth trajectory. The industry's unique challenges—including 82% of contractors facing payment waits over 30 days, the necessity of offering Net 60 and Net 90 terms in parts of the building materials and construction supply chain, and the fundamental conflict between competitive positioning and cash flow preservation—demand solutions purpose-built for these requirements.

For building materials manufacturers seeking to eliminate credit risk while maintaining healthy cash flow, Resolve Pay's non-recourse financing model offers a compelling solution. The platform's ability to advance up to 100% of invoice value within 24 hours while assuming the credit risk enables manufacturers to offer competitive net terms without jeopardizing their financial position. This becomes particularly valuable when working with general contractors and large construction firms who expect flexible payment options as a condition of doing business.

The instant credit approval capabilities powered by AI underwriting accelerate the order-to-cash cycle, enabling building materials manufacturers to respond quickly to customer orders without the multi-day delays typical of traditional credit evaluation processes. Combined with seamless integration supporting QuickBooks, Oracle, and leading ecommerce platforms, Resolve Pay provides manufacturers with a comprehensive platform that addresses both immediate cash flow needs and long-term customer relationship management.

As the building materials market continues to evolve with increasing demands for extended payment terms and digital-first customer experiences, having a net terms solution that scales with your business while maintaining operational efficiency and financial security becomes increasingly critical. Whether you're a large enterprise manufacturer processing high transaction volumes or a growing building materials company looking to expand your customer base through flexible payment terms, the right solution serves as strategic infrastructure that supports sustainable growth.

Frequently Asked Questions

What are net terms and how do they benefit building materials manufacturers?

Net terms are deferred payment agreements that allow buyers to pay invoices 30-90 days after receipt, functioning as short-term interest-free credit extended by suppliers. For building materials manufacturers, offering net terms has become a competitive necessity—suppliers who refuse to offer terms immediately disqualify themselves from major construction contracts. With Net 60 and Net 90 terms common in parts of the building materials and construction supply chain, manufacturers must offer competitive payment options to win business while using solutions like Resolve Pay to protect their cash flow.

How can AI-powered automation improve accounts receivable for my building materials business?

AI-powered automation reduces the administrative burden of managing net terms customers by automating credit checks, invoice processing, payment reminders, and collections management. For building materials manufacturers dealing with 96 days average payment wait times, this automation ensures consistent follow-up without requiring additional AR staff. Resolve's AI-powered platform can handle the entire credit-to-cash lifecycle, from instant credit decisions to automated collections, reducing Days Sales Outstanding (DSO) while maintaining professional customer relationships.

What is the difference between traditional factoring and Resolve's non-recourse financing for building materials?

Traditional factoring requires selling your receivables at a discount (typically 2-5%) and may signal financial distress to customers. Resolve's non-recourse financing advances up to 100% of invoice value within 24 hours while you retain ownership of the customer relationship. Most importantly, Resolve assumes the credit risk—what you receive is always yours to keep, regardless of whether your customer pays. This eliminates the fundamental conflict between offering competitive net terms and protecting your cash flow.

How quickly can I get paid on invoices when offering net terms through Resolve?

Resolve advances payment on approved invoices within 24 hours, so you receive cash in the bank within days of billing while your customers maintain their standard 30, 60, or 90-day payment terms. This addresses the industry reality where construction firms wait 96 days on average to get paid, providing you with predictable cash flow to fund operations, pay your own suppliers, and pursue additional business opportunities without being constrained by customer payment timelines.

What kind of credit checks does Resolve perform on my buyers?

Resolve's business credit check process requires only your customer's business name and address, delivering results within 24 business hours. Their platform combines AI, behavioral signals, and human expertise from former Amazon, PayPal, and Fortune 500 professionals to deliver deeper credit insights than traditional bureaus. This approach achieves higher approval rates, especially for small/medium contractors who may not have extensive credit histories but are creditworthy based on alternative data sources. All credit decisions are made at Resolve's discretion and are subject to buyer verification.

This post is to be used for informational purposes only and does not constitute formal legal, business, or tax advice. Each person should consult his or her own attorney, business advisor, or tax advisor with respect to matters referenced in this post. Resolve assumes no liability for actions taken in reliance upon the information contained herein.