Subcontractor Tips for Getting Paid Part 2
No one said it was easy working as a subcontractor. While you have the freedom of working on multiple projects at the same time, getting paid is always at the forefront of concerns. There are several layers of companies that will get paid before a subcontractor. They typically have little control over when and, sometimes, if they get paid. This means if a contractor is in dispute with an owner or struggling financially, you may not get paid.
Our Orlando construction lawyers have worked with many subcontractors and understand the issues they have in maintaining cash flow within their business. To help, we’ve created a two-part guide with tips to help subcontractors get paid. For more tips, visit part one of this series.
Read Your Contract Thoroughly
It all starts with the contract. Make sure that you have an understanding of what’s being asked of you and, how items such as change orders, will be handled. It’s also critical to know your scope of work, project plan and payment schedule. It’s also helpful to include a provision to stop work if payment is not received within a predetermined time period. An Orlando construction lawyer can review your contract and make sure the correct provisions are in place.
Build a schedule for at which points you will invoice your client and stick with it. It’s important to let your clients know that money is owed. It also demonstrates a level of professionalism that, combined with other practices, increases your chances of getting paid.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.