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As stated re-negotiate the retention (RISElectrical's percentages look good) before going any further. If temp supply wasn't in the original quote tell them it's extra and makesure your paid before starting the bigger job.

I use a similar breakdown as cbw for bigger job's so at least material costs are always covered.

I'd never give test records out before full payment is recieved again.

Another thing to look out for in future (as it's a property developer) is the promise of "i can make full payment when the property is sold....i'll need the test cert's to sell the place".....i was caught out by this (to my shame) end of last year and i'm still waiting for the final payment (with no cert's to barter with).
 
In fairness it is slightly different. Withholding a retention for the duration of a default period is common practice.

Yes I know on a massive contract but I do'nt think it is justified id this case. Job is hard enough without the punters thinking they are Paul Getty. They get away with it because they can and take an unfair advantage from it .

It's a big risk to take to give free credit for that amount of money however your circumstances are, I know there is a protocol but it has to be proportionate.
 
told customer that we wont 30% on day we start the works 50% when the project is totaly first fixed and the remaining 20% on day of compleation if he doesnt agree to this or starts moaning about it we will not be starting the job we have set high % to cover our selfs due to there moaning about price and retention payments do you tink this is cool
 
told customer that we wont 30% on day we start the works 50% when the project is totaly first fixed and the remaining 20% on day of compleation if he doesnt agree to this or starts moaning about it we will not be starting the job we have set high % to cover our selfs due to there moaning about price and retention payments do you tink this is cool

Seems completely fair to me because your gut is signaling a red flag and if this is what it takes to ease your concerns then so be it:thumbsup
 
I don't see the problem with the retention, only the amount of retention asked for, I usually hold back a retention from people, typically as said 2.5% for say £1000 upto £50k, 5% upto £100k and 7.5% above this.

Ive also never asked for anything up front, just monthly valuations payed within 30 days.
 
I agree however in your first post you said a property developer, hense I assumed a company and not just an individual, he could just be doing it to protect himself and to ensure you deal with any defects promptly. Ok so what he wanted to retain from you was too much but I'm just looking at it from his way as well as yours.

I retained 2.5% from somebody on a quote for £1900 today :)
 
I had a fella who wanted to retain 10% from 20k from me last year. I politely told him where to go! If you do a job and everything is fine, then your money is essentially sitting in their bank earning them interest! Why should it be?!
 
as said gut feeling! its a gamble every job these days so the question is " do you feel lucky punk?" lol
"property developer" probably no building knowledge what so ever ,just watched to many diy shows!
retentions far to high for the contract amount stage payments or day work! otherwise run for the hills!
 
The choice is yours but I think your instincts are correct. The guy sounds a little amateurish, he also sounds like he's pressed for cash, so even if he's well intentioned he could be incompetent and the result will be the same, you won't get paid or it will take for ever and be a huge hassle. I don't understand why the builder is on day rates and you are on a lump sum. I don't understand why he suddenly needs temps for work tomorrow. Where is his programme? You now seem to be facing a 7 week lead in. What is the total length of the programme from start to finish, as this is the period he wants you to finance him essentially. As I said it is up to you and good luck, but I don't think this guy knows what he is doing and that kind of person normally runs into trouble, which won't be good if he owes you money.
 
Just a thought , have you asked the builder why he is on day rate. Sounds a bit iffy to me. Is he paid daily , weekly, monthly. Has he been paid up to his agreement .
 
If he's trading as a LTD company, walk away. Because he will just go bust when everybodys looking paid.

Or

Get him to supply materials then day rate paid up each Friday. Then certificates when all paid up.

Too many horror stories. There are alot of sharks about at the minute!
 
If he's trading as a LTD company, walk away. Because he will just go bust when everybodys looking paid.

Or

Get him to supply materials then day rate paid up each Friday. Then certificates when all paid up.

Too many horror stories. There are alot of sharks about at the minute!

Problem is you dont get far never working for a LTD company seeing as most companies are limited.
 

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