Contractors - How to Get Paid On Time
One the biggest problems that I have found, working in
the construction business as a contractor and business owner is getting
paid on time. If you've been a contractor for over five years, there's a
good chance that you know what I'm talking about. Here's a couple of
tips from a concerned professional.
One of the best things that you can do is to have a schedule of payments
in your contract. There's no reason to gouge the person you're working
for and receive a majority of your money, before the project is
completed. This is simply poor business and has given contractors a bad
name for quite some time now.
Make sure that you work out a schedule that works well for you and the
person you're working for. Now let's say that you have a nice schedule
and you're not getting paid on time. You can stop working on the job,
until you get paid, you can threaten to sue or you can cut your losses
and quit working for that person.
There are plenty of other things that work well, but working for people
with good character is going to be your best bet. Before you even sign
the contract, explain to these people how important it is for you to get
paid on time and let them know how you will handle this problem if you
don't.
How you handle the problem will be up to you, but let them know that you
will not tolerate late payments. By simply mentioning this to the other
party, will set the tone for the rest of the project. If you don't
mention this to the other party, you could find yourself waiting and
waiting for your next payment, while getting farther and farther behind
in your finances. Don't be afraid to ask for your money or let the
people you're working for intimidate you.
If you want to get paid on time, don't work for people you're not
comfortable with and don't put up with anyone's excuses.