Construction Payment Blog

Underbilling occurs when a contractor does not bill for all the labor and materials delivered in a billing cycle. It can lead to serious cash flow problems.

Overbilling occurs when a contractor bills for contracted labor and materials prior to that work actually being completed. For example, during a billing cycle, a contractor completes 20% of a...

Dr. Schleifer continues his examination of the effect that late payments have on upper-tier parties, presenting a compelling argument: "the root of the problem begins with construction billing procedures" in...

The Percentage of Completion (POC) accounting method is often used by construction companies to keep track of their projects. Many construction industry accounting professionals prefer the POC method over the...

In most states, the lien process involves four steps: 1) Send a Preliminary Notice; 2) Send a Notice of Intent (NOI); 3) File a Mechanics Lien; 4) Enforce the Lien...

While ensuring worker safety is a top priority, little action has been taken to address construction payment issues. Why is the road to payment so treacherous for contractors, and how...

When we first got to know this California-based insulation contractor, we saw right away that they were not a newcomer to lien rights management. In fact, quite the opposite was...

For purposes of mechanics lien filings, property description requirements vary depending on which state the lien is filed in. As shown in the table (below, right) some states require a...

Combine the warmer weather with an overall construction business climate that seems to be heating up, and you've got the perfect recipe for construction business owners to take on more...

Big news coming from the good folks in charge of the AIA's Contract Documents: the 2017 Contract Documents have been released.