Remove Cash Flow Remove Lien Remove Management Remove Negotiation
article thumbnail

What is Retainage in Construction?

Lets Build

Almost every construction professional faces the same problem – cash flow. Large upfront costs and long waiting periods between payments are a normal occurrence; retainage adds to this cash flow problem for contractors and project managers. Retainage percentages and negotiations.

Cash Flow 147
article thumbnail

7 Things Contractors Need to Know About Retainage

Fieldwire

Construction is one of the hardest industries to manage cash flow in, with contractors often facing large up-front costs and frequent, long delays between expenses and payment. Retainage can cause a cash flow burden for contractors, especially subs at the bottom of the payment chain.

professionals

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

How To Negotiate A Higher Credit Limit With Your Building Material Supplier

Levelset

Contractors trying to grow their business and take on larger projects often struggle to manage their cash flow to purchase the materials they need. Many contractors use trade credit to delay paying for materials and keep more cash in their pockets. Get materials now, keep your cash. Provide a plan. Learn More.

article thumbnail

Accounting for Retention Receivable & Payable: A Contractor’s Guide

Levelset

The rate of retention is stipulated in the construction contract and can often be negotiated. Managing slow payment cycles. Because retention is often held for a long period of time, it can create cash flow problems for contractors. Contractors must weigh whether to use a mechanics lien to protect their payment rights.

article thumbnail

Unique Tips To Reduce Construction Company Start Up Stress

Contractor Bookkeeping

The only thing you know is your old boss was a terrible business manager and anyone could do better than that. If you are thinking of doing your own bookkeeping think again, your time is more valuable in managing your business, getting customers and keeping them happy. What To Do Next - You have never run a business. Or The Hard Way.

article thumbnail

New Contractor Business Start Up

Contractor Bookkeeping

The only thing you know is your old boss was a terrible business manager and anyone could do better than that. If you are thinking of doing your own bookkeeping think again, your time is more valuable in managing your business, getting customers and keeping them happy. What To Do Next - You have never run a business.

article thumbnail

We Reduce Construction Company Start Up Stress

Contractor Bookkeeping

The only thing you know is your old boss was a terrible business manager and anyone could do better than that! If you are thinking of doing your own construction bookkeeping think again, your time is more valuable in managing your business, getting customers and keeping them happy. They Have A Business Process Management Strategy.