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Getting Paid: What You Need To Do Before Starting A Construction Project

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Once you decide to do construction work for your client, you need to immediately determine how and when the client will pay for the job. Here are some things you should do before you start any type of work on a client's property:

Gather Information

Do not buy any supplies or start any project, large or small, before you get every piece of information you need from your client in full. You will need basic contact information -- this includes a home, office, and mobile phone number as well as a working email address. You need to get the addresses of the business contracting the work from you as well as the address of the property you are going to be working at within the scope of the contract. If there is a different person serving as general contractor for the project, you need to get his or her contact information as well. All of this information is a must so that you can make proper contact should the client miss a payment or deny you payment altogether.

Require a Credit Application

As a contractor working in the field of construction, you know that there is a lot of money that you may need to front ahead of time while you wait for reimbursement from your client. To make sure that he or she has a good payment history, you need to require a credit application. A credit application will include the contact information of the client, the banking information the client uses for his or her payments, and references. The signee of the credit applications has to be a person who is authorized to be responsible for all payments should the client's company close or file bankruptcy. A client who is serious and professional will not mind if you require a credit application. Many in the construction field will expect to fill out a credit application with sub-contractors.

Include a Joint Check Agreement

A join check agreement is common in the construction field. It is meant for the customers of your client, and it states that he or she is willing to provide the payment in both your name as well as your client. This is not unusual when you are working alongside a general contractor or other contractors working on the same project. It ensures that the money is used to pay you and the client instead of extemporaneous expenses.

Contacting an Attorney

If you start to notice a continual late payment or non-payment from your client, it is time to call your lawyer. In construction, time is money. Your attorney will ensure that a lien is put on the client in order for you to get paid back for your time and expenses. For more information about hiring a construction attorney, contact professionals like Sauro & Bergstrom, PLLC.


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