Keep control of your projects and cash flow with proper subcontractor payment management.

1. Avoid the common pitfalls
   1. Don’t rob Peter to pay Paul – pay all bills associated with a project draw when you get paid
   2. Over-payment on work performed
   3. Sub-tier sub and supplier non-payment – collect lien releases
2. Setting up for success
   1. Every sub must have a subcontract agreement
   2. Make subs create a schedule of values and review it
      1. Match to Owner SOV if possible
   3. Clearly outline your billing procedures
3. Making it work for everyone
   1. Communication is a key
      1. Make sure everyone understands how you manage payables
   2. Review the SOVs when progress payments are submitted – don’t wait
   3. Pay quickly when you get your money
      1. I prepare everything prior to receiving payment so I can push a button once the money is in my account