The 2021 Construction Cash Flow & Payment Report, based on a survey of 764 construction professionals, explores the financial challenges faced by the people and companies that make up the US building industry. Discover key insights into how the pandemic affected collection rates, impacted business cash flow, and shaped essential payment practices. Learn how practices have changed over previous years and between industry roles and sectors.
Key takeaways:
- Just 11% are paid in full on every job (an 82% drop from 2019)
- Only 9% always get paid on time (down 60% from 2020)
- Almost half (48%) of all construction businesses report project profit margins above 10%
- Cash flow problems reduce profits (47%), delay projects (33%), and force companies to take out loans (30%)
- 97% experience stress from slow payments and cash flow problems
- 71% have filed a lien over non-payment (41% filed two or more liens in the past 12 months)
- Nearly 2 in 3 contractors support a subcontractor or supplier when they file a lien
- 83% have the ability to accept electronic payments (79% say it has helped them get paid faster)