Blog 026 - Cash for Christmas

If there is one familiar song this time of year, it’s the Chairman reminding us of the importance of getting the cash in before the Christmas break, so here I am telling you the same thing, why? Because he is 100% right.

The five key questions you need to find answers to for successful Christmas cash flow are:

1. When is your December Application due in?

2. When is your Client QS going to make his assessment?

3. When is the Final Date for Payment of your payment that is due in December?

4. Does your Client QS have any annual leave in December and January?

5. Is your Client QS aware of any other key members of their organisation having leave that might affect payments?

As a specialist contractor cash is everything and this can sometimes get forgotten by the bigger companies for whom the staff are often so far removed from the liquidity of the company. In turn sometimes they forget the importance of real cash flow within the many smaller business that form part of their supply chain.

It is therefore up to the Specialist Contractor’s to take ownership over ensuring they get paid promptly during the Christmas period. During the Christmas period people can be known to wind down, take their foot of pedal and coast into the industry break. For Specialist Contractors, before anyone can begin thinking about brewdogs or bucks fizz, it needs to be your first priority to seek absolute answers to the above five questions. Ensure you have submitted your application on time or earlier (by agreement) if it provides the client QS with sufficient time to make their assessment before the break. It is important to find out if people have any holiday, this way you can be sure to plan your submissions around this and start chasing early to ensure you have your assessment back before they go! Worst case scenario, get assurances from the Client QS that someone else within their business will be covering the commercial commitments.

Cash is king for the specialist contractor and with safety aside, nothing makes for a more disappointing Christmas break than having the bank account empty when that money is rightly due!

This year remember to take some very simple steps, all of which are based around communication and relationships, to ensure that the money continues to flow during the festive period.

If you need help or advice working out when your money is due over the holiday period or have concerns about late payment, drop me an email