• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

Getting the builders in

Collapse
X
  •  
  • Filter
  • Time
  • Show
Clear All
new posts

    Getting the builders in

    Never thought of asking you lot for advise before as most of the information in the crypto and stock markets threads is entertainment at best. But here goes...

    I'm planning a rather large 2 story extension and loft conversion. Any advise on how to structure payments with builders? 25% when they have done the foundations, 25% when the walls are up, 25% when the roof and internal shell is in and a final payment of 25% on completion. Is my current thinking.

    Obviously I will ask my builder, but wanted to know if anyone else had been through the process before?

    FAQs
    Yes we will have radiators.
    I know how to bleed them.
    My accountant does not know.
    Make Mercia Great Again!

    #2
    Originally posted by BlueSharp View Post
    Never thought of asking you lot for advise before as most of the information in the crypto and stock markets threads is entertainment at best. But here goes...

    I'm planning a rather large 2 story extension and loft conversion. Any advise on how to structure payments with builders? 25% when they have done the foundations, 25% when the walls are up, 25% when the roof and internal shell is in and a final payment of 25% on completion. Is my current thinking.

    Obviously I will ask my builder, but wanted to know if anyone else had been through the process before?

    FAQs
    Yes we will have radiators.
    I know how to bleed them.
    My accountant does not know.
    Ooooh, get her! Sounds as if somebody's got the painters in.

    Comment


      #3
      80% on completion, 20% a year later minus any costs for problems that were found.

      Comment


        #4
        Ask us "for advice" instead, it might end better.
        The greatest trick the devil ever pulled was convincing the world that he didn't exist

        Comment


          #5
          If you doing it then update plans for a deep bunker as well

          Comment


            #6
            No idea. Staged payments sound good but the builder will want some assurances you have the cash. They may ask for some upfront in order to have cash flow to order materials.

            It would, to me, be more important to define the exact scope and get a fixed fee for the work, with changes cost assessed and agreed as extras. I would never agree to pay on a T&M basis unless you want to see just how long a builder can take to put a wall up.

            Comment


              #7
              Originally posted by ladymuck View Post
              No idea. Staged payments sound good but the builder will want some assurances you have the cash. They may ask for some upfront in order to have cash flow to order materials.

              It would, to me, be more important to define the exact scope and get a fixed fee for the work, with changes cost assessed and agreed as extras. I would never agree to pay on a T&M basis unless you want to see just how long a builder can take to put a wall up.
              Like you say a lot of builders are wary of staged payments and most will want you to pay for the bulk of the materials upfront before they even think about turning up.

              My rule of thumb, if a builder can start your job within the next 6 months they are tulip.

              Comment


                #8
                Every time I had to do jobs in my property it's always been 50% upfront and 50% on completion. Simple as.

                Comment


                  #9
                  Depends on who the builders are, etc.

                  We had work done a few years ago. We had agreed 25% up front, 25% when the walls were up, 25% on completion and 25% 30 days later (subject to snags being resolved)
                  …Maybe we ain’t that young anymore

                  Comment


                    #10
                    Payment terms will be established in the contract.

                    Please tell me you have a contract...


                    Some examples

                    Builders quote terms - this is where you sign their quote & agree to what they ask for..

                    BoQ (Bill of Quantities) will list items by description / unit / rate per unit / total - you will pay by the unit completed ie 5m2 of a 25m2 wall

                    Activity Schedule - will list tasks - you pay when the task is completed ie 25m2 wall.

                    Each agreed period (say monthly) they submit an AFP - Application for Payment, you review this & agree / disagree & make a payment within the specified term (ie 14 days)

                    What sort of warranty are you getting, have you agreed any sort of Performance Bond or retention?


                    My suggestion to you is get one of these & agree & sign up to the terms JCT Minor Works


                    Yes... this is my day job
                    Growing old is mandatory
                    Growing up is optional

                    Comment

                    Working...
                    X