Blog
A Constant Stream of Helpful Content on Getting Paid in Construction
Understanding the different billing methods and finding the best type that best fits your company is essential for any construction business.
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How to Build an Effective Accounts Receivable Team in Construction
One of the keys to running a successful construction business is effective accounts receivable management. If you have a smooth-sailing process for reviewing, processing and collecting your payments, you have a better chance of improving your cash flow and growing your company. Construction businesses have different ways of managing their accounts receivable or AR. Smaller […]
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How to Respond to Delinquent Construction Client Objections to Collections
Dealing with delinquent clients is one of the toughest challenges for contractors, subcontractors, and material suppliers. Delinquent clients in construction are clients who do not pay on time or, worse, who do not pay at all. Having too many delinquent clients can clog your business’ cash flow. A messed-up cash flow can be a major […]
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Construction Collection Calls Mistakes to Avoid
Knowing how to effectively call customers for payment is necessary, especially in construction that is notorious for late payments.
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Trade Credit Management for Material Suppliers: In-house or Outsource?
Cash flow management is one of the most important aspects of running a construction business. Failing to stay on top of your finances can spell disaster for your company, and this rings particularly true in an industry as complex as construction. Construction projects follow a hierarchical payment chain. Under this system, contractors and subcontractors typically […]
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Why Expectation Management is Key in Construction
When you’re on the job, it’s easy to forget that you’re building for someone, maybe even several people. Like any other business, there’s a customer and seller involved in every transaction. While you may not be directly responsible for the sale of a property or project, you are still beholden to the customer. That’s precisely […]
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How Fast Should In-house Trade Credit Approvals Be?
Trade credit is one of the most popular financing options in the construction industry. When construction clients use trade credit, they can buy materials and services without having to pay upfront. They instead pay at a later date depending on the payment terms agreed upon by the parties involved. Using trade credit is convenient, so […]
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How to Improve Communication Skills for Effective Construction Debt Collection
Communication skills are key to running a successful construction company, or any business for that matter. In construction, specifically, payment delays and disputes often arise due to poor communication among the stakeholders. Being a good communicator is also extremely important in collecting payments from clients. Without proper communication skills, you may suffer through regular delays […]
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9 Qualities of Effective Credit Managers in Construction
In a lot of ways, the construction industry is distinct. Every single project is different, and roles and responsibilities change depending on the contract you sign. Construction parties also have a legal remedy for payment recovery – no other industry allows its participants to file a mechanics lien to pursue payment from delinquent clients. Construction […]
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Dos and Don’ts of Extending Trade Credit to Construction Clients
Trade credit is one of the most popular transactions in construction. When a construction company extends trade credit, they provide services such as labor and materials before they get paid. Payment is only exchanged after services have been furnished and invoices have been sent. Because trade credit is quite common in construction, it may seem […]
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