Very few construction projects happen without subcontractors. Some general contractors self-perform all or a portion of the construction work, but, most often, major and minor trades contribute the lion’s share of labor and materials.

And that makes perfect sense. Why not hand over installation of a concrete foundation to specialists who do it every day? The same goes for electrical, plumbing, metal framing, tile and roofing, just to name a few.

But general contractors don’t just delegate the responsibility of getting the work done when they engage subcontractors. They also pass on the burden of scheduling, securing the lines of credit necessary to supply materials and equipment, staffing the project and paying wages until they receive their first progress payment. For the biggest subcontractors, this could mean fronting millions of dollars in payroll and other expenses each month.

Keep reading this article at: https://www.constructiondive.com/news/schedules-and-payments-dominate-subcontractor-challenges/514756/