We do a 5%-10% retainer, depending whether you are an unknown/new sub or established sub we know. We cap ours at $10K but we will hold that for a year after they have quit working for us because damages do not get reported/invoiced within 90 or even 180 days after it occurs so we have to maintain something to make sure the damages are covered. We do a yearly report of retainage so we can pay those that have no damages, or what's left if there were any damages. We pay our subs in 30 days, early pay will cost you a percentage or we can recommend a broker that will pay them early and wait on our check to come in. We try to help them out when possible because they help us out. Some of our subs have had the same $10k on their books for several years now and do not have any retainage pulled at all any longer.
Re: Invoice Terms & Retainers
Member #: 40504
Registered: 9/8/2005
Posted:
92
Name:
Big Chris
Name:
Chris Pedersen
Company:
STC UtilityServices, inc
Location:
Dallas TX
Personal:
Experience:
~44 years
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