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August 23, 2024

The Secret to Getting Paid Upfront in Custom Home Building

Want to know how successful builders get paid upfront instead of chasing payments? It’s simpler than you think. Let’s break down the basics of smart payment collection. The Traditional (Risky) Way: Wait until project end for profit Cover all costs upfront Chase late payments Hope clients pay on time The Smarter Way to Get Paid Start with the Right Agreement Get paid for your expertise from the beginning with a Design & Discovery agreement after their complimentary initial consultation: Small design fee ($1,000-$2,500) Shows client commitment Helps builds trust and allows you to get paid for pricing out the home Starts cash flow to cover designer fees Structure Smart Deposits Before breaking ground: Agreement signing: $25,000 Permit stage: $100,000 Clear timeline of deposits and payments in your Constructions Specifications Agreement Written expectations Regular Payment Points Set clear milestones and get paid for as many milestones as they star.  Some examples

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