The 2022 Construction Cash Flow & Payment Report, based on survey data from more than 500 construction companies, explores the state of the construction industry with respect to payment speed, cash flow, mechanics lien usage, and more. This industry report analyzes key differences between different segments of the industry, including various business roles, project types, and annual revenues.
Key takeaways:
- While nearly two-thirds of businesses report profit margins greater than 10%, less than one-tenth of companies report being always paid on time for completed work.
- Companies most commonly offer payment terms of 30 days or less, but less than 40% of construction businesses report getting paid within 30 days on average.
- Explanations for slow payment vary, with half of subcontractors blaming the general contractor while 40% of general contractors blame the project owner’s financing.
Download the full report for detailed analysis and extensive data.