New Construction Vs Reroofing

I would like to hear the pros and cons on new construction projects. Also, how do you secure your receivables in new construction? Do you file something with the title company?

Thanks :?:

With new constructio, the pay is generally pretty low. Be careful of builders that go through a lot of roofers, and need you right now and promise the world. That will usually be your charity work for the year. Especially if the work is half done, and you really cant see any problems with the other guys work. Also, ask up front how the billing cycles work, sometimes you can be 30-60-90 days out just to get paid. Some pay weekly, so you really need to ask. I had one builder who would only accept bills on the third monday of the month. Then it would take 30-60 days from then to get paid. Dont come on Tuesday, just bring it next month. It is really easy to have $40-50,000 on paper and nothing in the bank.

We don’t do any new residential shingles and very little new commercial shingles. We do some commercial flat normally very large jobs or any type of tpo or pvc such as durolast, carlisle, manville etc. We have a great maintneance program geared towards corporate restaraunt accounts. Therefore when they build new restaraunts they request that the general contractor hire us to put the roof on. Otherwise I like to bid new construction to keep us busy during the winter months. They are much easier and less risky with the threat of snow and ice. The reason I like reroofs over new is mainly because of price. With new you usually can’t offer the customer with several options. They normally go to the lowest bidder(in most cases). It normally takes longer to collect. You have to deal with the demanding scheduling. other trades can cause delays and cost you money. If you have recievable issues you can file for a mechanics lien. The best way to combat recievable issues is to include your pay guidelines in your contract. As for example my contract says that 50% is due before material is delivered. The balance is due within 30 days of invoice date. The invoice will be sent the day the foreman tells the secretary that the job is 100% complete. The general must pay within 30 days of that date. You or your secretary needs to call the general 1 week after that date to confirm that the invoice was recieved. This tells them you are waiting and watching. Then a second call is placed 3 weeks after the invoice date as a friendly reminder. If you do enough work for a general and they like you they will meet your request as long as they are fair for both parties. Be sure the general knows how much it cost you if they don’t pay on time.