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24.01.2022 #subcontractors if youre: a) hiring out goods, OR b) hiring out goods AND providing services alongside those goods, to #builders under a subcontract agreement (eg scaffold), ... AND c) those goods never permanently form part of the building, OR d) they dont have the ability to affect the structural integrity of the #building, you should NOT be letting builders hold #retentions under your subcontract! This also applies to trades that arent carrying out #buildingworks like #demolition contractors or #buildersclean. Two things about this: 1) if youre not receiving those funds during the works period and you have to wait an entire year (now spanning multiple financial years) to see that cash, that has a cash value (or de-value) that affects your balance sheet. *[An accountant could say this more eloquently, I encourage them to do so in the comments!]* But...consider CPI and/or lost opportunity to invest that cash etc if it were in circulation in your business. Instead of your business, the Builder reaps that benefit while you sit on your laurels and let them do those good things with your ca$h for a year and then some! 2) if the Builder goes broke in that year, with your ca$h in his bank account, youve exposed your business unnecessarily to losing that money, for no good reason at all. Of all the terms to negotiate in a contract, for hiring companies this one is a top contender. #construction #constructionindustry #securityofpayment #tricksofyourtrade

24.01.2022 #subcontractors how many times have you quoted a job for a builder, and when the PO comes its in some company name youve never heard of? Everyone pretends its business as usual, but deep down you know the builder is robbing Peter to pay Paul, or slipping some work from one project in under another. Whats it to you, right? ... Well, if youre doing work for a shelf company or a subsidiary, there are two main ways Ive seen this bite the subbie: 1) shelf company racks up the debt with the subbie , subbie doesnt get paid and commences proceedings to recover $$ way too late (because the subbie wastes time thinking relationships with the builder will get him paid). People behind the shelf company sink it to avoid paying debts, builder sits untouchable because he never had a contract with the subbie, even if he benefited or profited from the work the subbie did. 2) subbie doesnt even notice the different name on the contract, does the work and invoices the wrong entity. Doesnt get paid, tries to debt recover from the wrong entity, gets rolled on a no contract with that mob basis. By the time the subbie figures out who hes contracted with hes out of time to use Adjudication, it cost too much to sue, or the company he had a contract with has been quietly reregistered in the meantime. These situations are so avoidable even with minimal due diligence, but time and time again I see subbies coming unstuck in this way. With a systematic approach these problems need never cross your mind. #tricksofyourtrade #constructionindustry #buildingconstruction #securityofpayment

24.01.2022 #subcontractors Im not crazy about ABN workers. To me, they enjoy all of the fiscal benefits of business status but arent really running a business. I also think you rely on them too much, to your detriment.... Heres why: 1) they dont share your contractual risk, or statutory defects period (because you never hold retentions and rarely sign proper contracts with them ). 2) they dont carry the costs of insurances, they might hold PL, but usually not WC, never insurance for their works. 3) they rarely pay their super, you hope they pay their tax but you cant be sure & its on you to withhold if they are really an employee (ie: if your sham contract doesnt cut it). Big fines for you if this goes bad. 4) they spend nothing on quoting or other overheads to win work, but (if it suits them) theyll enjoy ongoing work from the steady work youre quoting, winning and warrantying. 5) They rarely hold and pay for their own licence, in some instances because they cant meet the qualifications, or fit and proper criteria. 6) you get zero subsidies or grants to employ them and youre actually disincentivised to train them because they can leave you for the competition without notice (or become the competition). #tricksofyourtrade #constructionindustry #construction

24.01.2022 #subcontractors there are a few things you need to know about signing #subcontracts on DocuSign or other electronic document software. 1) this is the Telstra Ts & Cs model where you are more likely to click through without reading the fine print. Next minute youve signed up to a 24 month contract with a minimum payment amount of silly $$ and an auto-renew at end of the term, and all you really wanted was an iphone, right? 2) you may not have the option to print the subcontr...act before you sign it, although I have seen some builders accounts setup so that you can print for faxing. If there is no option for you to print, you are INSANE not to ask the builder for a copy of the document in PDF so that you can read it and mark it up. You are very unlikely to read these Ts and Cs on the screen, and even if you do, you cant amend anything. GET A HARD COPY. 3) you dont HAVE to sign a #contract electronically just because the #builder sent it to you that way. If the builder wont work with you because you wont sign his contract electronically WALK AWAY. You are not buying iphones people! This is your business and your livelihood you are gambling with. #construction #constructionindustry #tricksofyourtrade #securityofpayment #buildingconstruction #building

24.01.2022 #subcontractors the most common reason I see variations unpaid is because the builders CA is too green. He/she is straight out of uni, no site experience, no trade background and no buildability wisdom to write a scope of work that caters for construction sequence adjustments, rework or work arounds. #Builders call these #variations unlet scope costs and they very quickly add up. This problem across multiple jobs can sink a builder very quickly.... There are two reasons these varys are harder to get paid for: 1) nobody saw them coming, so theres no bucket of money to pay you for them even if they wanted to; 2) the CA has to fess up to the PM, CM & GM in costs reporting at end of the month (right about the time your claim needs to be approved for payment) and the CA gets their bum kicked for not stitching the subbie up on these costs in the contract. If your CA is green (youll know what I mean) it pays to give them the heads up of all the likely issues you can predict a mile before they happen on the job. Hopefully you qualified these on your quote, or marked up the scope of work when the #contract came. And as always, get these varys directed in WRITING. #constructionindustry #buildingconstruction #tricksofyourtrade #securityofpayment #building #construction

23.01.2022 #subcontractors & #builders when giving a #paymentclaim you need to be very careful with how you use Dropbox/OneDrive etc. Rule 1: If you dont HAVE to use it, dont. Rule 2: If your attachments are too big to fit on your email, you need to make sure that you AT LEAST attach a claim document to your email that complies with the criteria for a valid claim. (Different criteria depending on which State the Project is in)... Rule 3: You need to incorporate by reference the additional documents contained within the Dropbox link so that the recipient can understand what documents make up your claim. Eg: Please find attached our Payment Claim #2. Variation Directions and supporting valuation records were too large to attach to this email, please find them at this link: [insert link]. Why? 1) There is case law around ineffective service where a Payment Claim wasnt received because the reader of the email didnt click on the link. 2) Lawyers will run arguments (that will cost you $$$ to defend) that you changed files after giving the claim. 3) Youre likely to fumble your adjudication application by not including a correct copy of the payment claim because its not in one neat file. #buildingconstruction #securityofpayment #constructionindustry

22.01.2022 #subcontractors if youre about to sign a contract that has the PC date nominated as "as per program" you really need to check to see if: 1) there is a program even attached, if not, get a copy of it; and 2) that the program is current or has been updated; and 3) that the date your trade STARTS on the program hasnt already passed; and 4) that the date that your trade is scheduled to FINISH on the program is achievable.... If you failed at any of the 4 above, you need to be going back to your #builder and either getting the program revised or crossing out the words "as per program" and writing in specific start and finish dates. Just last week I worked on a matter where a Builder was chasing delay damages from a Subbie for a contract where a PC date was nominated but the program that was attached was three months out of date at contract signing, didnt even specify the Subbies trade at all on the program activities let alone completion date, and the Subbie finished by the PC date anyway but couldnt prove it. So where does that leave the Subbie? Paying someone like me to help him get out of hot water. #construction #securityofpayment #buildingconstruction #building #constructionindustry #tricksofyourtrade

22.01.2022 One thing has always had me stumped about these relationships you #subcontractors always harp on about having with your #builders... If youre such great pals, why are you so slow to call him when youre not paid? Shouldnt it be an easy conversation? And what about the #contract terms? Good mates but he wont let you even REQUEST a change in the fine print?... This isnt a relationship people, its a charade! Use the tender process to sniff out who youre doing business with. If a CA doesnt have the authority to negotiate contract terms with you, he doesnt have the authority to get you paid if the job hits the skids. #tricksofyourtrade #building #construction #constructionindustry #securityofpayment #buildingconstruction

21.01.2022 #subcontractors did you know that in Australia #builders can no longer hold your #retentions until the builders retention is released under the Head Contract? The Australian High Court decided last year that doing so is a pay when paid provision under Security of Payment law, and any #subcontract clause that ties the release of retention to a third party contract is void. Im still seeing a lot of builders trying to do this in QLD. If this is happening to you, get in touch... because there are steps that you can take to help the builder see sense and release your retention when it becomes due under YOUR subcontract. #securityofpayment #buildingconstruction #constructionindustry #construction #tricksofyourtrade

19.01.2022 Am I wrong or am I right? ... When it comes to disputes, #Builders and #Subcontractors dont really want to resolve them - they only want to win them. I invite the opinions of all in my network: #contract specialists, #adjudicators, #arbitrators, #lawyers, and of course builders and Subbies.

19.01.2022 Ive been pretty vocal lately about #builders spinning bullshit reasons to #subcontractors for non payment. This is not because Im some Subbie Hugger or like to pretend Im Robin Hood. 90% of the time I encourage the Subbie to go-along-to-get-along and jump through the bullshit hoops to get paid without making waves.... After all, you Subbies are all so hell-bent on not ruining your precious relationships The underlying problem for the Subbie with allowing this type of behaviour is that its often a calculated move by the builder to trick the Subbie into not pursuing a payment claim. Once the Subbie realises these are just empty delay tactics, the Subbie is often out of time to pursue the Payment Claim or debt recover in a cost effective way. If a builder does this on a final claim it could mean that the Subbie has no right under the Contract to make any more claims, and the Security of Payment legislation might be useless moving forward. The Subbie comes to me one or two business days too late, instead of picking up the phone when they first get a sniff of no good from the builders camp. Imagine my reply when they tell me the system is broken . #securityofpayment #tricksofyourtrade #constructionindustry #construction #buildingconstruction #building

19.01.2022 #subcontractors, how would you deal with a #builder who won't listen to reason? We've all been there right... Every once in a while you'll come across someone entirely unreasonable and bloody minded and they'll play silly buggers with your money until you go mad. They'll happily spend two, three - even four times the amount that they owe you in legal fees just to fight you... and if they get one up on you they'll laugh in your face.... These #builders are literally banking on you losing your $hit and if you can't find a way to take the emotion out of it you'll lose more than your money and your marbles in the process. Being in business means dealing with a wide cross section of society and with that comes exposure to profiteering sickos who litigate for sport. The trick to dealing with these guys is this: 1) know one when you see one; 2) get help early while the solution is still cheap; 3) be calm and methodical in your every day procedures; and 4) don't take it personally. Chalk it up to your quota and move on. #tricksofyourtrade #construction #constructionindustry #building #securityofpayment #buildingconstruction

18.01.2022 #subcontractors, nobody can just MAKE a #builder pay you every time, on time, in full. Even #securityofpayment laws require you to first be short paid before you can take any action to debt recover. Reactive debt recovery measures are costly and uncertain - it is much less stressful and less expensive to proactively manage your contracts with commercial acumen and get what you want while maintaining a relationship.... Trying to apply pressure after your leverage is gone quickly turns into a situation where you threaten legal action until you have to take legal action, and the builder sits back and delays paying you until he absolutely has to. Only you truly understand when you have the upper hand. This is why so many subbies withhold certification documents when they arent paid. Youre on the right track with that, but those antics pulled unlawfully can land you in breach of #contract and you can end up getting counter-sued if and when you finally get your day in court. To understand your commercial leverage and how you can harness it without compromising your #contract, contact me for a no obligation chat. #tricksofyourtrade #constructionindustry #construction #buildingconstruction #building

18.01.2022 #subcontractors do you know what a jurisdictional issue is? I'm betting a big fat NOWAY -and that's assuming you haven't already stopped reading! A jurisdictional issue is an issue about whether or not you have met the criteria to use the #securityofpayment law that you are relying on to get paid. ... If you haven't met the criteria you run the risk that an adjudicator has no authority to decide you should be paid. Raising an issue like this is the best way a #builder can get one over a subbie in an #adjudication, so you need to know what the common ones are. Here are some (not all) of them: - no contract - no reference date - invalid payment claim (several reasons why this could be) - second payment claim in same period - payment claim not served - adjudication application invalid (several reasons why this could be) - adjudication application not served All of those can be avoided with half decent #contract admin. You don't need to be an expert at this stuff - you just need to have a systematic approach. #constructionindustry #buildingconstruction #tricksofyourtrade #building #construction

18.01.2022 #subcontractors youre not going to like hearing this, but not all of you should be in business. Being in business means having difficult conversations, fighting for your money and picking your battles or knowing when to say no. I hear a lot of talk about fairness and doing the right thing in our industry, but if youre a business owner nobody is going to pay you just for showing up. ... Big builders didnt get where they are by lining up for the gravy train and begging for their next meal. They kicked down doors and created opportunities. There are some builders out there breaking the rules, but there are even more subbies playing blind mans bluff on the freeway doing absolutely nothing to protect themselves. If youre blaming a #builder for sending your business broke, ask yourself these questions: 1) did I read and negotiate my #contracts? 2) did I administer and manage the Contract, and do I even know how much margin was in my jobs? 3) did I track my resources and manage my project costs? 4) after I got screwed the first time, did I smarten up and work for someone else? 5) when I wasnt paid, did I spin my wheels doing nothing about it until it was too late? #construction #securityofpayment #tricksofyourtrade #building #buildingconstruction

16.01.2022 I cant believe what Im hearing around SEQ at the moment. A whole lot of #subcontractors who have worked really hard to secure work over the coming months for their businesses and their workers are now struggling to get their workers off the couch because all the ABN tradesmen have drawn money out of their super and would rather milk jobseeker for all its worth. This is so bloody short sighted! ... Our #constructionindustry is one of the key industries keeping our economy on life support at the moment. Small business has bent over backwards to provide opportunities for these guys and now that those businesses need to deliver on their contracts tradesmen are hanging up their boots for Christmas in July. If ever there was a time to learn the true value of hand picking and mentoring apprentices, and the importance of keeping employees on the payroll instead of relying on ABN workers this is it. ABN workers have shirked the system too long. What a bunch of parasites. #getoffthecouch #buildingconstruction #builders #construction #building #tricksofyourtrade

16.01.2022 Last time I went for a job interview it was for a CA role with a Tier 2 builder in SEQ. The guy interviewing me thought he was so smart, shooting questions at me like: How do you think youd go making trade letting gains on projects bid at negative 4% margin?... I realised at that interview how broken the current contracting practices were in the industry (both up and down the chain) and I knew that if this builder was bidding at negative margins they probably all were. From that point on, I didnt care if I never worked for another builder ever again. I left the interview and that same week started my own business helping #subcontractors manage their #contracts with #builders. Sure as anything, my first big adjudication job was helping a subbie get paid by that same builder I interviewed with. Now I know exactly how they clawed back their negative margins... #constructionindustry #buildingconstruction #building #construction #securityofpayment #tricksofyourtrade

15.01.2022 #subcontractors now that #builders are realising that they cant hold your #retentions because they havent been paid theirs yet, their latest trick is to specify absurdly long defects liability periods in the #subcontract. This is yet another noose you can stumble upon if signing without reading the contract first. And there is no legislative provision specifying a maximum DLP, so its fair game if you agree... Imagine the strain on #cashflow if you have to wait two or more ...years to see the last 2.5% of your contract sum hit your account... #securityofpayment #constructionindustry #construction #buildingconstruction #tricksofyourtrade

14.01.2022 #subcontractors the first time you work for a #builder is the best time to negotiate #contract terms, for three reasons: 1) if you blindly sign the first time, theyll expect you to do it every time. The negotiations on your first contract set the scene for future #contracts and its harder to get them to agree on the next one if you were desperate to win the first contract. 2) if youre dipping your toe on a low value contract, theyre more likely to offer you a minor works ...or a purchase order if its a small $$ amount. This is the main bargaining point on low value contracts, mate youre asking me to sign a 400 page contract for $50k - seems a bit absurd. Hopefully Builders CA feels like a mug and agrees. 3) you dont know the builder from a bar of soap - he has zero runs on the board. If you blindly sign the first contract having spent no time wining and dining these guys, that tells them that youre so desperate to win the job that youre willing to marry a stranger. What hope do you have getting paid for varys on the job when they know you will do ANYTHING to work with them? #tricksofyourtrade #securityofpayment #buildingconstruction #constructionindustry

14.01.2022 Lots of #subcontractors have been asking me lately how much I think a CA or estimator should be remunerated in this market. *Im not a recruiter* but my answer was this: How much is a mistake worth in your trade? ... Good help is invaluable! If you have the right people (and systems) in your team your business will thrive! Document control, contracts and QA are not sexy, but they will sink you quickly if not done right. A CA will make you their wage several times over in a payroll year by firming up your variations and delay costs. Theyll also save you their wage just as many times by protecting you from non payment and minimising wasted resources and materials. A great estimator will win you job after job by providing you with fantastic looking take offs to accompany your quote. You will sleep at night knowing the price is right, and the #builder will have confidence in engaging you when they see youve undertaken a thorough measurement at tender, and your inclusions are transparent. The pre-contract negotiation is one of the critical success factors in a profitable project. If I owned trade contracting business, the estimator and the CA would be in my top 3 most important team members, 2nd and 3rd only to my site supervisor.

14.01.2022 #subcontractors there are stories getting around of #builders making their foreman carry a rubber stamp that says: this is not a variation approval but a record of time spent, and anytime a day docket gets put to the foreman to sign he stamps it with the stamp. ... Want to know how to fix this? Well, you cant stamp an ipad... A few years ago I helped a client with an Adjudication Application to recover a lot of unpaid variations. The Builder was disputing payment saying that the Subbie was barred from claiming variations because they didnt get them Directed in writing. Its what every subbie fears - doing $100k+ worth of vary work on a verbal direction and hoping to get paid. The one thing my guy had in his favour was that he recorded electronic day dockets. Whenever a vary was directed the workers would log their hours, take a quick picture of the work and get the foreman to squiggle his finger on the bottom of the ipad. By the skin of his teeth, my guy won the adjudication and eventually got paid for those varys. If your foreman carries a stamp like this there is a good chance your builder has used this excuse or plans to at some point in the future. #tricksofyourtrade #construction #buildingconstruction #building #securityofpayment

14.01.2022 When #builders unplug their fax machine or try to dodge service of #paymentclaims in other daft ways, it reminds me of when my 3yr old closes her eyes during hide and seek and thinks I cant see her. You can still effectively be served even if your eyes are closed Whats worse is - you are so confused about whether you have been served that you dont know when the clock starts ticking on the deadline to reply. ... This muddying of the waters only benefits the lawyers who get paid to argue when and how you were served, and from when time runs. Wouldnt you rather know about a claim as soon as possible so that you have the maximum time to respond? Imagine plugging in the fax machine and seeing hundreds of pages come out, knowing they have been sitting banked at the server for two weeks waiting for the plug to go in. Anyone playing shenanigans over service to avoid payment just looks dodgy, and when caught out, there is no coming back from that. Aussie #subcontractors dealing with these antics might consider sending a copy of anything being served to the builders registered business address. You can find this by doing a $9 ASIC search on the ASIC website. #tricksofyourtrade #securityofpayment #building #constructionindustry #construction

13.01.2022 #subcontractors do you know what a jurisdictional issue is? Im betting a big fat NOWAY -and thats assuming you havent already stopped reading! A jurisdictional issue is an issue about whether or not you have met the criteria to use the #securityofpayment law that you are relying on to get paid. ... If you havent met the criteria you run the risk that an adjudicator has no authority to decide you should be paid. Raising an issue like this is the best way a #builder can get one over a subbie in an #adjudication, so you need to know what the common ones are. Here are some (not all) of them: - no contract - no reference date - invalid payment claim (several reasons why this could be) - second payment claim in same period - payment claim not served - adjudication application invalid (several reasons why this could be) - adjudication application not served All of those can be avoided with half decent #contract admin. You dont need to be an expert at this stuff - you just need to have a systematic approach. #constructionindustry #buildingconstruction #tricksofyourtrade #building #construction

12.01.2022 #subcontractors this is a shout out to you, the silent majority who read my posts and contact me incognito to say how much my nuggets of advice have helped you over the last 3 years. I get that you cant like and share what Im saying because youre worried about the perception that creates with your clients. Ive been amazed in the last six months how many people I have met who mentioned over a handshake that they follow me on LinkedIn or Facebook and I had no idea who the...y were!! We are now good mates and I know not to tag them or like their photos and posts for the same reason they dont like mine. But at least I have their phone number so I can text them if Ive got something helpful to say I dont care about algorithms and Ill never post every day for the sake of posting - I only post with something valuable to share that I think can help our industry. Consider dropping me a private message with a thumbs up so I know who you are when I bump into you on site #tricksofyourtrade #constructionindustry #buildingconstruction #building #construction #securityofpayment

11.01.2022 #subcontractors what do you think would be worse? A: you give the builder a credit for a whole building deleted from your scope, only to realise afterwards (when the project $$$ = a loss) that the building wasnt even on the tender drawings and you didnt include it in the first place OR... B: you scoot through the job no dramas, builder gets to final inspection and calls to tell you that youve supplied and installed 50% of your work in accordance with a superseded drawing You dont need a lawyer to check the drawing register in the contract youre about to sign, or to compare the scope with your quote. The two examples Ive given here are the two most likely ways good blokes having a decent crack at business will come unstuck. If youre the business owner and you cant personally be across these fine details, you need a systematic approach that alerts you to a fire in the field. #constructionindustry #construction #buildingconstruction #building #securityofpayment #tricksofyourtrade

11.01.2022 Most people wont know this about me, but my Husband works in sales in the #constructionindustry. He has asked me at least 1000 times: What is the elevator pitch for your business? Teach me the spiel so I can tell people. Me being a #contracts nerd looks at him cross eyed ... we just help #subcontractors solve their problems...... Him: what like Ray Donovan? Youre a fixer for the #tradies? Me: well we dont use baseball bats, guns or golf clubs anymore... the look of disappointment on his face is priceless. (He particularly loves golf) This post gives you an idea of how BAD I am at marketing But I do know that there are a LOT of you reading my posts and you like what you hear...but you dont know if we are for you. So here it is: - Payment Claim and debt recovery advice & services (#securityofpayment); - Contract reviews & ad-hoc dispute prevention contract admin; - Dispute resolution advice and commercial management services to avoid disputes; - licensing, defects management and compliance advice; - Training and business systems to support you in all the above #tricksofyourtrade #construction #building #buildingconstruction

11.01.2022 Ive heard this story from a handful of #subcontractors now and thought it was worth a mention. There is some talk of builders and larger Subbies using #jobkeeper and BAS rebates to discount #quotes and #tenders, buying jobs at drastic negative margins to keep their staff employed and keep a grip on their market share. Im interested to hear what my network think of this. ... Is this: A: OK - natural attrition and exactly what jobkeeper was for. After all if the business survives and comes out the other side it serves the purpose... OR B: short sighted and unnecessary, buying jobs is a house of cards that will set them on a path theyll never recover from... OR C: other [please explain]. Personally, I think its risky when these businesses dont know when the tap will be turned off. Watching with keen interest to see what will happen next. #constructionindustry #tricksofyourtrade #buildingconstruction #building #construction #securityofpayment

11.01.2022 Which would you choose?? Spend [this much] avoiding loss or [this...???...much] chasing the actual debt? Recently, I am constantly hearing #subcontractors say this:... "Its not fair that I have to spend [this much] at a chance to get back [this..???..much] - I should just be paid for the work that Ive done!" I couldnt agree more. It is not fair. But we arent in the school yard anymore, we are in business. Regardless of whether or not your short payment relates to the #constructionindustry , I dont know of any regulator, court or tribunal that will make one #business pay another business without first proving its right to the #payment. #securityofpayment laws are as close as it gets. Under SOP youre able to utilise an expedited process out of court to get a decision that you would otherwise need to take to a judge. The cost to assist you in #adjudication is relative to what is involved and how long it takes to prepare your application. If cost v benefit is TRULY important to you, I can help you run your business so that you can stay out of disputes - or at worst, if you end up in one, youve got two strong legs to stand on and nothing serious to argue about. #tricksofyourtrade #construction #building #buildingconstruction #builders #builder

11.01.2022 Im pretty vocal about why #subcontractors need to pay attention to #builders that dont pay on time. Thats because Ive personally seen more builders than I have fingers on two hands do these dodgy things: 1) at the end of each month, ask all of their CAs and PMs for a list of Subbies who wont suspend work if they arent paid.... 2) direct their CAs to value down every line of a #paymentclaim by a cumulative 20% of the overall claim and to write a half decent reason on the #paymentschedule to avoid #adjudication. 3) dont pay any trades that arent on site. If any give notices of intention to suspend, only make payment 3 business days before they are due back on site (so that they cant refuse under SOP or Contract). 4) dont pay any supplier that no further credit is required from. Not many #suppliers realise they can use #securityofpayment legislation to #debtrecover. 5) company wide ban on release of retentions, only to be reconsidered if the Subbie is smart enough do A + B + C. Each of these in the on hold pile, only got shuffled up to the top if they applied enough pressure. Ive heard every bullshit excuse you can think of to avoid making payment. Its not every builder but please be sure its not your builder. #tricksofyourtrade #building #construction

10.01.2022 Ive had a few #subcontractors tell me recently that theyre disappointed with themselves for ending up in a dispute with a builder, and quite frankly, embarrassed that they need my help at all. My response: Its not all about you mate! ... Some #builders have issues that are way bigger than the boat youre rocking. You can do everything right and it wont stop your builder from going broke, getting into a head contract dispute, running an unsafe work site and inevitably coming to the attention of the Regulator. Judge yourself on these things, not the Builders failings: 1) how fast did you see the signs and pick up the phone for advice? 2) have you been chasing up your progress payments each and every month as soon as they fall due? 3) Did you lawfully suspend work when the money stopped? 4) Did you give the right notices under the #contract when the job hit the skids and half the subbies walked off site? Having the confidence to know what trigger to pull and when to do it isnt something to be embarrassed about. Behind every business is a human being making the best decisions they can based on the resources available to them. Get resourced! #constructionindustry #construction #tricksofyourtrade #buildingconstruction

10.01.2022 I cant tell you how INFURIATING it is when I phone a #builder to ask why one of their #subcontractors hasnt been paid, and they give some BS reason like: your claim said invoice but it didnt have the word tax on it. It takes literally every fibre of my being not to scream at these turkeys: you know thats not legit! I know its BS, YOU know its BS, and now you know I know so lets cut the cr@p and tell me why were really not being paid. The craziest thing is, it...s not even my money Im chasing!!! No wonder golf clubs to kneecaps was the debt recovery method of choice back in the day. These cr@p reasons for not paying are legacy games lingering from the era of Subbie bashing back when builders funded their entire finance departments on unclaimed Subbie retentions. Times are changing (albeit slowly), but Subbies need to start calling bullshit on these builders and let them know we dont play games anymore. #constructionindustry #construction #buildingconstruction #building #tricksofyourtrade #securityofpayment

09.01.2022 I’ve heard this story from a handful of #subcontractors now and thought it was worth a mention. There is some talk of builders and larger Subbies using #jobkeeper and BAS rebates to discount #quotes and #tenders, buying jobs at drastic negative margins to keep their staff employed and keep a grip on their market share. I’m interested to hear what my network think of this. ... Is this: A: OK - natural attrition and exactly what jobkeeper was for. After all if the business survives and comes out the other side it serves the purpose... OR B: short sighted and unnecessary, buying jobs is a house of cards that will set them on a path they’ll never recover from... OR C: other [please explain]. Personally, I think it’s risky when these businesses don’t know when the tap will be turned off. Watching with keen interest to see what will happen next. #constructionindustry #tricksofyourtrade #buildingconstruction #building #construction #securityofpayment

08.01.2022 #subcontractors using #PAYAPPS...dont get sucked in to thinking you cant give your next payment claim to your #builder because they havent yet closed out the previous payment claim in the system. If PAYAPPS wont let you give one, just knock one up the traditional way and email them the bloody thing! The classic example of this is if they havent yet ticked a box in PAYAPPS to say you can claim your #retentions.... Bugger them! This is just a hoop jumping tactic to trick you into delaying making a claim. You can claim for payment when youre entitled to under the #contract, not when some snotty nosed CA has ticked a box in PAYAPPS!! Submitting a Payment Claim via PAYAPPS is NOT a prerequisite for a valid claim under Australian Security of Payment Laws. Youd be surprised how many times I hear of Subbies not putting in claims because of this stupid claim software. Worst case scenario, if you dilly dally long enough you could be time barred under Security of Payment Laws to make the payment claim when you finally get the box ticked to do it. #constructionindustry #securityofpayment #buildingconstruction #building #construction #tricksofyourtrade

08.01.2022 #subcontractors part of being a smart operator is recognising that you cant be an expert at everything. It took me years of reading #contracts before I really understood what the fine print meant YOU had to deal with in order to carry out your trade works on site. Asking for help is not a failure!! In fact, asking for help with your subcontracts is a defining moment of success, whether you celebrate it or not is up to you.... I can promise you that at some point in business you will spend time and money getting paid. Youll have sleepless nights worrying about a builder who is acting shady and not answering your calls. Youll probably get ripped off, by someone about something. When a builder is giving you the squeeze, knowing what to say, or how and when to push back, can be the edge you need to tip the scales in your favour. #tricksofyourtrade #constructionindustry #buildingconstruction #builders #building #construction #securityofpayment

07.01.2022 #subcontractors do you ever feel like giving a Payment Claim is like throwing $hit at the ceiling? I speak to several Subbies every week who say I feel like I have zero control over whether my #Builders will pay. The Clients that I work with who have the best success at getting paid never let a short payment carry over unresolved until it bumps into the next claim period.... They use what I call the squeaky wheel + escalation method and they have tenacious CAs who live in the details and own this task like a dog with a bone. These Subbies spend very little on debt recovery and have never been to adjudication. On the flip side, my Clients who do this the WORST way delay all discussion about disputed amounts until the end of the job. Then they come to me bleeding from the neck for the scenic ride through adjudication. Any help we can offer at this point is only reactive to the mess theyve already made. Those Clients budget annually for legals and (despite my best efforts to convince them otherwise) they will never spend time and money on proactive #securityofpayment systems in their business. So if youve read this far ask yourself this: Red pill or blue pill? #constructionindustry #building #buildingconstruction #tricksofyourtrade #construction

05.01.2022 #subcontractors how many of you know what you have to give the #builder and/or do under the contract in order to reach PC under the contract? In a lot of #contracts, you need to achieve PC under the contract so that you have a reference date to claim your PC #retentions. If anything listed in your contract isnt relevant to your trade, you need to cross it out before you sign the contract.... You cannot assume that a builder wont try to make you pay for as-builts, final surveys, engineers inspections etc if they were written into your contract and scope.

05.01.2022 #subcontractors do you ever wish you had a ghost writer that could write really clever emails for you in language you understand so that you could reply to your #builders with confidence? Your wish is my command Every other day I get texts or emails from clients that say:... Michelle this muppet is trying to make me [insert stupid demand from builders CA] and Im pretty sure I dont have to do it but I dont know how to tell him without the $hit hitting the fan... Most of the time I can help these guys with one text message reply, or a 5 minute email. You guys know in your gut when a job is going south. It usually only takes one or two carefully worded emails to get your builder to see sense, or to give you what you need. If it doesnt...he was never going to give it to you anyway. The earlier we get involved the more likely you are to achieve a commercial outcome where relationships are preserved, than a legal one where nobody wins after costs. #tricksofyourtrade #constructionindustry #buildingconstruction #building #construction

01.01.2022 #subcontractors if you are only in business because you cant stand being told what to do, what made you think working for a #builder would be any less demanding? I cant tell you how many subbies Ive worked with who went out on their own and took their old crew with them because they thought they could run a tighter ship than their old boss. Being in business means juggling WAY more elements than just nailing the site work. ... These guys are at high risk of doing unlicensed work because they dont understand the limitations of their license class. Or youll see them getting busted for sham contracting because they and their boys "share the profits" under an ABN tree. They come unstuck quickly when they have to juggle supplier invoices/credit limits, BAS payments and labour availability all while juggling quotes and costly gaps in project delivery. When all these pressures take your eye off the ball, mistakes happen, defects become chronic and worst case scenario, someone gets hurt. This my friends, is how disputes are born. And guess what, when theres a dispute between a builder and a subcontractor, it almost ALWAYS comes to a head in a #paymentclaim. #tricksofyourtrade #buildingconstruction #constructionindustry #building #construction

01.01.2022 #subcontractors, how would you deal with a #builder who wont listen to reason? Weve all been there right... Every once in a while youll come across someone entirely unreasonable and bloody minded and theyll play silly buggers with your money until you go mad. Theyll happily spend two, three - even four times the amount that they owe you in legal fees just to fight you... and if they get one up on you theyll laugh in your face.... These #builders are literally banking on you losing your $hit and if you cant find a way to take the emotion out of it youll lose more than your money and your marbles in the process. Being in business means dealing with a wide cross section of society and with that comes exposure to profiteering sickos who litigate for sport. The trick to dealing with these guys is this: 1) know one when you see one; 2) get help early while the solution is still cheap; 3) be calm and methodical in your every day procedures; and 4) dont take it personally. Chalk it up to your quota and move on. #tricksofyourtrade #construction #constructionindustry #building #securityofpayment #buildingconstruction