The best business loan broker for HVAC and plumbing contractors (2026)

Name: Bay Street Lending
Address: 11 Broadway, Suite 1131, New York, NY, 10004, US
Price range: $25K-$10M

Full disclosure: we are Bay Street Lending, a broker, so we're biased. We say plainly below where your bank, a marketplace or another firm is the better choice for a contractor, and every competitor fact links to its source.

Updated October 2026 · Competitor facts checked October 2026

TL;DR

Your own bank is better if you have two years of tax returns, good credit and time to wait. A bank line of credit sized to your slow season is the cheapest money an HVAC or plumbing shop can get.
Bay Street Lending fits shops at least six months old, with $25,000+ a month in deposits, that need $25K to $2.5M faster than a bank moves: a pre-season equipment order, added technicians, a large commercial job. Our 2026 contractor fundings ran from $40K to $433K.
National Business Capital is better for larger shops ($600K+ in annual revenue) that already have a bank loan and need more capital behind it. It reported three HVAC deals of $0.2M to $1.0M as the lender in May 2026.
Lendio or Clarify Capital is better for a new shop or a request under $25,000, such as a first van down payment or a tool package.

Financing options for HVAC and plumbing contractors at a glance

Option	Best for	Smallest request	Fastest funding (as stated)
Bay Street Lending	Established shops, $25K–$2.5M, one advisor	$25,000	As fast as 6 hours (working capital)
Your own bank	Shops with 2+ years of returns and good credit	Set by the bank	Usually weeks
National Business Capital	Larger shops that already have a bank loan	Focus is $250K and up	Up to $250K "within a few hours"
Lendio	New shops and small requests, self-serve	$1,000 (line of credit)	"As soon as 24hrs"
Clarify Capital	Shops doing $10K–$25K a month	$5,000	Most products in 24–48 hours

What lenders look at for HVAC and plumbing contractors

Seasonality first, then job mix, then the payments you already carry.

Bank statements: 6–12 months, so the underwriter sees both peak and shoulder seasons
Deposits: Average month and your slowest month, not just your best one
Job mix: Service calls, replacement installs, and commercial work on net terms
Existing payments: Van and truck notes, plus any short-term working capital still running

For most HVAC and plumbing shops, revenue follows the weather: cooling calls in hot months, heating and frozen-pipe calls in cold ones, and thinner shoulder seasons in between. A shop that deposits $150,000 in July may deposit half that in April. Funders who work with contractors expect the swing. What hurts a file is a slow month with no explanation, or an account that runs to zero every shoulder season. Send 12 months of statements if you have them, and say in one line which months are seasonal.

Job mix comes next. Residential replacement installs are often paid at or near completion, sometimes through a consumer financing program. Commercial and new-construction work is typically billed on net terms set by the customer's contract. Underwriters read a heavy commercial mix as slower cash, and a large base of maintenance agreements as steadier cash.

Then the stack. Many shops already carry notes on vans, and some still have a short-term advance from last summer. A new funder weighs your total weekly or monthly payment against your slowest month. If the payments only work in July, the right answer is usually a line of credit, not another term advance.

HVAC working capital: uses, costs and qualification →

1. Bay Street Lending

This is us. Our pick for established shops that need $25K to $2.5M and one advisor.

Best for: Shops 6+ months old with $25K+/month in deposits needing $25K–$2.5M
Product fit: Line of credit for seasonal swings; working capital for a dated gap; equipment financing for vans; factoring for commercial invoices
Cost to you: No fee from us; the funder pays us if you fund
Reviews: 5.0 on Google from 45 reviews

Bay Street Lending is a broker, not a lender, founded by an investment banker and a partner who has spent his career in commercial finance. You apply once (a soft credit pull, about two minutes), one named advisor works the file, and it goes only to the funders among our 100+ partners whose criteria it meets. Every option comes back priced side by side, with total cost, payment and term in writing before you sign, and no obligation to accept.

Contractors are a large part of our book. In 2026 we arranged $433K for a plumbing and air company, $330K and $200K for two HVAC companies in April, $305K for an AC contractor in June, and three fundings between $40K and $148.5K for one mechanical contractor. If you find yourself needing capital every season, ask us about a line of credit (from $25K, 650+ credit, one year in business) before another short-term advance.

Where we fall short: we do not serve shops under six months old or requests under $25,000, working capital needs $25,000+ a month in deposits, and we have fewer public reviews than the bigger brokers and marketplaces (45 on Google, rated 5.0). Short-term working capital costs more than a bank line. Use it for a gap with a clear payoff, like a pre-season equipment order that turns into installs within weeks.

Plumbing business financing and working capital →

2. Your own bank or an SBA preferred lender

Better and cheaper if you qualify and can wait.

Best for: Shops with 2+ years of tax returns, good credit and clean books
Products: A revolving line sized to the slow season; SBA 7(a) for buying another shop
Speed: Weeks for a line; SBA loans commonly 60–90 days
Trade-off: More paperwork; lines can carry annual renewals and covenants

If your bank will give you a line of credit sized to your slowest two months, take it before you call any broker, including us. It is the cheapest seasonal money a contractor can get, and you pay interest only on what you draw.

Expect a bank to ask for business tax returns, financial statements and a personal guarantee. Some shops miss on timing rather than credit: the season moves faster than the bank. If you are buying a competitor or a building, an SBA loan is the right tool: the SBA lists changes of ownership and real estate among 7(a) uses, and its 504 program offers long-term, fixed-rate financing for buildings and major equipment. We arrange SBA loans too ($50K–$5M, typically 680+ credit and two years in business), but a bank that already holds your deposits may move just as well.

Seasonal business financing, explained →

3. National Business Capital

Better for bigger shops that already have a bank loan.

Best for: Shops with 1+ year and $600K+ in revenue needing $250K–$15M
Model: Lends from its own balance sheet (up to $15M) and arranges network offers
HVAC record: Three HVAC deals of $0.2M–$1.0M as lender (May 2026 deal tables)
Reviews: Trustpilot 4.9 (2,773), BBB A+

National Business Capital now describes itself mainly as a direct lender of private credit and junior capital, funding up to $15M from its own balance sheet, while still arranging offers from a lender network. ABL Advisor deal tables list it as the lender on three HVAC deals of $0.2M to $1.0M in May 2026.

If your shop does $600,000+ a year, already has a bank line, and needs subordinated capital behind it, National Business Capital is the better choice. We do not offer subordinated debt. Its bar is higher than ours: one year in business and $600,000 in annual revenue per its FAQ, with a stated focus of $250K to $15M.

Ask about cost before you sign: it publishes no fee schedule, and its FAQ quotes unsecured rates "around 1% per month." One December 2025 Trustpilot review describes weekly payments that strained cash flow; negative reviews are under 2% of its 2,773.

National Business Capital products ↗

4. Lendio

Better for new shops and requests under $25,000.

Best for: Shops under 6 months old and requests under $25K
Amounts: Line of credit from $1K; equipment $5K–$5M
Cost to you: Free to apply; lenders pay Lendio
Reviews: Trustpilot 4.5 (21,906), BBB A+

Lendio is an online marketplace, not a lender. It lists lines of credit from $1,000, equipment financing from $5,000 and startup loans up to $150,000, so a newly licensed plumber or a two-van HVAC shop can get offers we cannot arrange. Finder cites a revenue bar of about $8,000 a month.

The trade-off is reach. Its privacy policy says it will share your file with "lenders, business financing providers, banks, and brokers," who may keep it even if you never take an offer. Its own grid shows lines of credit priced from 8% to 60%, so compare total cost, not just approval.

Lendio products and amounts ↗

5. Clarify Capital

Better for small shops between $10K and $25K a month.

Best for: Shops 6+ months old doing $10K–$25K a month
Amounts: $5K–$5M; home equity line up to $750K
Credit: Some partners consider 500+; soft pull to quote
Reviews: Trustpilot 4.9 (873)

For a shop doing $10,000 to $25,000 a month, Clarify Capital is the better fit; it sits below our $25,000-a-month deposit minimum. It is a broker with a dedicated advisor, requests from $5,000 and a stated revenue floor of $120,000 a year. It also offers a home equity line up to $750K, which some owner-operators use to cover slow months.

Its menu leans toward fast products: Clarify says revenue-based and factoring options fund the same day, and it does not disclose what lenders pay it. Ask which product you are being offered and what the total payback is.

Clarify Capital products and requirements ↗

Our pick

For most established HVAC and plumbing shops, start with your bank for a seasonal line of credit. If the bank is slow or says no, or you need $25,000 to $2.5M for a dated gap, Bay Street Lending is built for that: one advisor, a short list of priced options, and your file kept to funders that fit.

Choose National Business Capital if you are past $600,000 in revenue and need capital behind an existing bank loan. Choose Lendio or Clarify Capital if your shop is new or the request is under $25,000.

What we'd do today

Pull 12 months of business bank statements and mark your two slowest months.
List every current payment: van and truck notes, any advance still running, and your line of credit balance.
Name the use and the payoff: a pre-season equipment order, a new technician, or a commercial job on net terms. Match the product to it.
Ask your bank first for a line sized to the slow season. If it says no or needs months, apply with a broker that limits who sees your file.
Compare offers on total payback and on the payment in your slowest month.

Questions

What do lenders look at for an HVAC or plumbing company?

Six to twelve months of bank statements, average deposits and the slowest month, the mix of service, replacement and commercial work, existing payments on vans and equipment, and time in business. Credit weighs most for bank and SBA loans.

Is a line of credit or a term loan better for a seasonal contractor?

A line of credit in most cases. You draw in the slow season, repay at peak, and pay only for what you use. A term loan or short-term working capital fits a one-time cost with a clear payoff.

Can a plumbing company with commercial accounts use invoice factoring?

Yes, if the invoices are owed by creditworthy commercial customers on net terms. Factoring advances 80 to 95 percent of the invoice. It does not help with residential jobs paid at completion.

Does Bay Street Lending lend the money?

No. Bay Street Lending is a broker. A funder makes the loan and pays us if you fund. You pay us no fee and are under no obligation to accept an offer.

What is the smallest amount Bay Street Lending arranges?

$25,000. For less, a marketplace such as Lendio, which lists lines of credit from $1,000, or a broker such as Clarify Capital, which starts at $5,000, is the better fit.

See what Bay Street Lending can do for you

One application, one named advisor, and every option priced side by side. Your file goes only to funders that fit, we never sell your information to other lenders, and there is no obligation to accept.

Start your application

Sources

We checked every competitor fact on this page in October 2026. Terms change; confirm on the provider's site before you apply. Bay Street Lending is a broker, not a lender.