Seriously if you are going to run a building business you need to be in control of the money and pay your tradies weekly. Why do you want to take all those tradespeople down as well whilst you are constantly using their money to try and keep afloat. You are mean and dishonest.
Apparently about a third of local builders and subcontractors had poor financial control (reported by the West Australian)
They are now looking at rewriting legislation (yep how long will that take 2-3 years)
Did you know that 22 builders have gone into administration in the past two years, leaving subcontractors millions of dollars out of pocket. As a result of non-payment, many of them have been forced into administration.
Project Bank Accounts are needed to protect those subcontractors from struggling builders.
Project Bank Accounts would ensure that clients money was spent on paying subcontractors in a timely manner; and not used to bankroll other projects.
In the industry there is a real culture of using funds not necessarily to pay subcontractors but to cash-flow projects.
The advisory group's first workshop, involving industry players such as the construction union, recently recommended changing the adjudication process to make it easier and cheaper to chase unpaid money.
(Hmph as if those poor subcontractors in the meantime die of starvation). Not a fair outcome for those people who have done the work, paid their accounts and bang they dont get paid because someone else cannot run their own books. STINKS whatever way you look at it.
If you are building make sure that the builder is liquid.
MAKE YOUR OWN DECISIONS AND GIVE IT A REAL GO!!
SELLING MOSMAN PARK & THE WESTERN SUBURBS!!
KEEPING IT REAL IS OUR MOTTO!!
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