“Pihl files for bankruptcy after ‘too aggressive expansion”

This story caught my eye this morning because it has a number of key points that I would ask all Specialist Contractors to bear in mind.

Pihl says; “The expansion took place without sufficient balance in the contract terms and without having sufficiently verified the credit quality of the foreign customers and sub-contractors, and without making sure that the qualities of the work processes and the risk management procedures were sufficient to support the increase in activity.”

Woah, so many key points in one comment…

“….sufficient balance in the contract terms” Please don’t enter into contracts unless you understand the terms and the risk they pose. Please see https://www.streetwisesubbie.com/contracts

“…without having sufficiently verified the credit quality of the… customers” Please make sure you check out every potential customer/contractor’s status properly. Please see how we can help via Top Service https://www.streetwisesubbie.com/top-service-credit-reference-agency

“…without making sure that the qualities of the work processes and the risk management procedures were sufficient to support the increase in activity” Please don’t assume that your current procedures and what you are doing now will work if you are increasing your turnover. Take a look at https://www.streetwisesubbie.com/books for a cracking read for Specialist Contractors on all such matters.

And please make sure that every Specialist Contractor you know joins over 1,400 colleagues in our exclusive group on LinkedIn. Here’s the link; http://linkd.in/cvfM9X


Share this


Tags

Become a Streetwise Buddy

Construction’s a tough place to do business right now, and Specialist Contractors need all the help you can get. That’s why you will find our resources and expertise are invaluable, whatever the size of your business and whatever your specialisation. We’re here to help you solve all your business problems, including the crucially important contractual ones, such as getting paid.

What Our Buddies Say ...

  • /

streetwisesubbie

StreetwiseSubbie.com Ltd
Shanakiel
17 Ilkeston Road
Heanor
Derbyshire
DE75 7DR

Helpline: +44 (0)1773 712116
Email: info@streetwisesubbie.com

Free
Consultation