Bigger contracts

[Stefan Palokangas]

Any of you took on large contracts, costing a fortune to complete and having to wait forever to be paid ?

 

Some bigger firms out there is real slow paying and we the small people having to put out a lot of money to complete a contract, wages , new gear and everything around it.

 

What’s normal to wait for an invoice?

[peatff]

https://www.gov.uk/invoicing-and-taking-payment-from-customers/payment-obligations

[Steve Bullman]

Always seems the bigger the companies the longer they take to pay.  There’s exceptions to every rule though of course

[Stephen Blair]

30 days, they have their excuses though and there is nothing you can really do except stamp your feet and get stressed.
I'd don't work for bigger companies without a purchase order now.

[richy_B]

30 days would be a treat. A lot of larger customers are 60 or 90 days.

[Mick Dempsey]

I think the trick is to build that into your price.

[Steve Bullman]

24 minutes ago, Mick Dempsey said:

I think the trick is to build that into your price.

Absolutely.  A lot of these bigger companies expect far higher prices to pay than the majority of tree companies actually charge too in my experience 

[Stefan Palokangas]

Last one was 60 days, this one i spent a lot on and they keep adding on work.

Price it after I was shown and then changing goal post.

A nightmare.

We live and learn

[Marc]

90 day’s for on of our suppliers.

 

To be fair they audit our account and ensure we have the ability to weather the size of contract, so we are capped at what we can do.

 

not all companies are so thoughtful when it’s 30-60-90 day terms

 

we find it hard by after speaking to the QS’s at a few firms when their turnover is in the 100’s of millions that 35-300k contract can take time to process especially when part of a larger 30-300m contract.

 

you have to understand the liability you place yourself in.

 

if you need to purchase kit to do the works you can always negotiate part payment up front or shorter terms but you have to be clear about this and concise in your terms.

 

 

[arbogrunt]

I have a 25% surcharge on overdue accounts in my T and Cs....14 days on domestic work, 28 days on commercial....pay late, pay more.