Wise Up Wednesday: Specialist Contractor Payment Nightmares….
This week’s “Wise Up Wednesday” is a very brief one about avoiding Payment Nightmares…
Yes I keep banging on about it…
And I make no apologies for doing so because getting paid is tough, and it’s going to get tougher.
And if you think any of the hair brained government schemes being talked about in certain areas of the construction press are going to make a blind bit of difference then, I’m sorry but you are not living in the real world!
And I’m not making any apology for saying that either…
What’s Really Happening?
Some of the commentators say construction is still on the up, some say the bubble has burst.
I say wake up and smell the coffee!
Late payment is on the up and that’s a fact; according to credit experts Euler Hermes who found that the number of delayed payments in construction has grown by 27 per cent year on year.
Specialist Contractors are still suffering from late payment on private and public sector projects despite an upturn in workload.
According to the research payment delays were particularly bad in the last quarter of the year, with the three months to December seeing 12 per cent more late payments than July to September.
And it’s no surprise when many of the major Contractors are reporting huge losses. They are so desperate to preserve cash that they will resort to all sorts of underhand tactics to hang on to your money! These include;
- “Underpayment without reason”
- “Pay when paid and if certified”
- “Spurious contra charges with no prior notice and no detail”
- “Unpaid applications in excess of 6 months”
- “Contractors ignore you, even after repeated threats of legal action”
- “Even large contractors who used to pay on time hold onto payments”
- “Contractors use you to bankroll the contract”
- “They screw you to maintain their margins”
- “Contractors that are in adversarial mode from day one!”
- “CIS deducted incorrectly and not paid back”
Every single day we see good hard working Specialist Contractors like you suffering at the hands of the non-paying, arrogant, bully boy Contractors!
So What’s To Be Done About It?
If Specialist Contractors are ever going to receive the returns that your hard work and efforts deserve, effective action needs to be taken at grass roots level.
- if you haven’t yet downloaded your free “How To Get Paid” report you can do it now here; “How To Get Paid”
- come and join the debate with 2,178 Specialist Contractors in our FREE LinkedIn Group: FREE LinkedIn Group
- already in the group? Then please spread the word to every other Specialist Contractor you know and forward this email to them
- check out the free resources on our web site: StreetwiseSubbie
- in a Trade association? Why not get in touch and see how we can link up
- think more should be being done or got some ideas? Please get in touch
- Buddies, please make sure to use the initial free advice and free Consultancy resources at your disposal.
- let us help you to protect and grow your business,
- and if you’re not yet a member why not email us at email@example.com for details?
Because, together we can make a real difference!
I hope you enjoyed my Wise Up Wednesday and that it gave you some food for thought.
If you need any help with any of your business issues, please don’t hesitate to pick up the phone and give us a call on 01773 712116.