Standard Payment Terms For Subcontractors In the Construction Industry
As cashflows get tighter I currently have a disagreement over what payment terms are the industry standard for progress payments within the construction industry.
Terms are normally specified in the contract however what are fair terms? The main contractor will obviously try and suit themselves as to how late thay can pay.
My understanding however is that standard payment terms would be 30 days from the date of application for payment, stretching to 45 days being the latest date that the contractor can pay.
It is also my experience that Contractors regularly ignore the due dates and stretch credit to breaking point for a lot of small subcontractors.
I would be interested in anyone else's experience of getting paid and what the industry norm is for sub-contract work.
In particular is there anyone out there lucky enough to get paid within 7 days from the date of application or is that just fantasy land?
- Your fondest calculator memories 1,178 44
- R&D tax claim 233 7
- Does anybody still use a Filofax? 520 18
- You think HMRC are inefficient? 502 9
- Company Pension Contributions 2013/14 163 7
- Profit accruing in fiduciary or representative capacity 122 2
- Gift to employee 365 12
- Tax Allowance on University Course 133 1
- Transfer of a business 120 1
- I hate HMRC's voice recognition system - The Inept Interrogator 1,126 22
- Investment property where tenant lives rent free 407 8
- VAT Cross Border Invoicing 111 2
- Sage Import Data 308 6
- Slight twist on employment related securities 241 1
- Child and Working Tax Credits and sudden increase in investment income - does this trigger a claw back? 115 2
- Best time software for small practice? 226 2
- Residents Association Corp Tax 317 13
- private to company car? 366 9
- Which address 1,024 11
- Do I charge VAT for event I held in Paris 272 5
- DTR : TIOPA 2010 Section 42 475
- CTA study material 453
- Sect 102 TMA 1970 329
- Pre incorp expenses 308
- Relief on French Tax Deposit? 265
- Anyone have clients that use Pay4Later to offer customers credit? 253
- What is the tax position if I am working overseas but via a UK agency? 203
- Gift Aid after 5 April, before 31 Jan - Tax Credits 155
- Anybody have that old ACCA Student Training Record (STR1) 139
- Taxation of partners in an LLP following new rules 133