Diversified Interiors

How Diversified Interiors Strengthens Relationships and Grows with Viva

As the largest regional commercial finishing contractor in the area, Diversified Interiors has earned a strong reputation for quality since its founding in 1981. The company’s work is seen across a wide range of commercial and government projects, ranging from schools to medical facilities, hotels, automotive dealerships, grocery stores, and entertainment facilities. What once began as a very small operation has now allowed general contractors to bring thousands of contracts to successful completion and employs around 400 professionals. 

Up to 90-Day Waits for Payment Were Slowing Growth and Straining Relationships

The construction industry is unique because payments are milestone-based, and general contractors must bear the cost of materials and labor until payment comes in. Delays are common as a result, which can create cash flow challenges even for the most successful businesses. “Owners will go 30, 60, 90 days without paying and it makes it really difficult to operate,” explains Andrew Hawley, President of Diversified Interiors.

Because Diversified Interiors was well-established in the industry, the company had access to lines of credit, which could help bridge these gaps as they came up. However, leveraging them impacts credit and would leave the business without access to cash when unexpected emergencies arise, so they weren’t always the best solution.

This meant the company often found itself repeatedly reaching out to general contractors for information about upcoming payments, taking time away from core activities and potentially increasing strain on their working relationships.

Viva’s Quick Pay Program Eliminates Payment Delays and Strengthens Relationships

Diversified Interiors had heard about Quick Pay programs and appreciated the simplicity but hadn’t found a partner they felt comfortable with yet. That all changed around eight years ago when they met Viva Capital and discovered that Quick Pay could be flexible, too.

Now, Diversified Interiors can take care of payroll and supplies as needed without worrying about where the money will come from. “It’s helped the work relationship we have with our general contractor since we are not constantly calling him with questions about payment. It’s totally relieved stress for us and them,” Hawley says.

Image Credit: Diversified Interiors, https://diversifiedinteriors.com/portfolios/region-19-education-service-center/

Having instant liquidity also makes it easier for the company to address emergencies as they arise. “Quick Pay is different than a traditional bank loan. It does not affect our credit or eligibility, so we found that we can leave those loans ‘untouched’ and have a rainy day fund that doesn’t need to be tapped into to pay for materials and employee payroll because Quick Pay is taking care of that for us.”

Hawley notes that cash from Viva’s Quick Pay also helps them save money. “If the suppliers have a rebate program that you can take advantage of by paying them on time, and you can do so it’s a great bonus you want to be taking part of.”

Looking forward, Diversified Interiors is planning to grow and expand with the help of Viva Quick Pay. When asked what advice he has for other businesses that are exploring the program, Hawley notes, “It’s a no-brainer because it costs [the general contractor] nothing. Just make it available and give people the option to opt into the program.”

Explore Quick Pay for Your Firm

If your general contractor struggles with cash flow challenges due to delayed payment, Viva’s Quick Pay Program can help. To learn more or get started, request a complimentary Quick Pay Consultation.