Trades man has taken money without doing any work

Trades man has taken money without doing any work

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joshcowin

6,812 posts

177 months

Tuesday 24th May 2022
quotequote all
768 said:
You're going to demolish half their house and then question their commitment?
Saying yes to something that will happen in 4 months time takes little commitment, the customer can pull the plug 1 week before the agreed start date, the contractor has months of work to find for his team/s in one week. If the client has the commitment at an early stage to leave a deposit for the project it shows greater intent to the contractor.

At present I am buying materials before I start projects, placing deposits for joinery, the deposit doesn't cover these costs but it gives me some peace of mind. People can be extremely fickle and I have had my fingers burnt more than once!

I work on stage payments with fully broken down invoices, the client always knows where they stand. The final bill is always after completion and snagging

Architect led and commercial projects are different, but that isn't being discussed here.

R56Cooper

2,398 posts

224 months

Tuesday 24th May 2022
quotequote all
joshcowin said:
768 said:
You're going to demolish half their house and then question their commitment?
Saying yes to something that will happen in 4 months time takes little commitment, the customer can pull the plug 1 week before the agreed start date, the contractor has months of work to find for his team/s in one week. If the client has the commitment at an early stage to leave a deposit for the project it shows greater intent to the contractor.

At present I am buying materials before I start projects, placing deposits for joinery, the deposit doesn't cover these costs but it gives me some peace of mind. People can be extremely fickle and I have had my fingers burnt more than once!

I work on stage payments with fully broken down invoices, the client always knows where they stand. The final bill is always after completion and snagging

Architect led and commercial projects are different, but that isn't being discussed here.
I am completely with you Josh and I really don't understand how some people are so vocal about refusing to pay even a small deposit up front. I've dealt with plenty of cases where builders have done the job and invoiced the customer at the end, only for them to refuse to pay.

The text book next step is for the customer to start making spurious complaints and before you know it, the only way to get paid is to file a county court claim which invariably gets met with a defence and counterclaim and takes several months to resolve.

Much better to ask for x% up front to secure the date and then follow on with bills at appropriate intervals. Client stops paying, you stop working before you've incurred thousands in material and labour costs.

Sheepshanks

32,808 posts

120 months

Wednesday 25th May 2022
quotequote all
joshcowin said:
We have just started asking for deposit payments, people are extremely fickle. Once quote accepted we sign an agreement then first week of us onsite we ask for a deposit. Its not for our cashflow its to show the customer is committed!

Longstanding / repeat clients no deposit.
We’re getting towards the end of our extension / refurb and when decided on the firm to do it I wanted to give them a deposit in order to commit them to the start date (which was about three months after we accepted their quote).

They wouldn’t hear of it. They did turn up on day promised. It’s been quite a slow and steady build, but not out of line with work neighbours have had done. I’m not aware of any material shortages holding things up, Roof trusses, windows, staircase etc had to be ordered but there time to do that while groundwork and brickwork was going on.

joshcowin

6,812 posts

177 months

Wednesday 25th May 2022
quotequote all
Sheepshanks said:
We’re getting towards the end of our extension / refurb and when decided on the firm to do it I wanted to give them a deposit in order to commit them to the start date (which was about three months after we accepted their quote).

They wouldn’t hear of it. They did turn up on day promised. It’s been quite a slow and steady build, but not out of line with work neighbours have had done. I’m not aware of any material shortages holding things up, Roof trusses, windows, staircase etc had to be ordered but there time to do that while groundwork and brickwork was going on.
That's great, currently doing 3 jobs of various sizes, 1 I took a deposit the other 2 I didn't.

I have had issues with bricks and roof tiles recently. Pleased you are all good and things have gone well.

ClaphamGT3

11,307 posts

244 months

Thursday 26th May 2022
quotequote all
joshcowin said:
Its not for our cashflow its to show the customer is committed!

That's what they all say 🤠

poo at Paul's

14,153 posts

176 months

Thursday 26th May 2022
quotequote all
ClaphamGT3 said:
joshcowin said:
Its not for our cashflow its to show the customer is committed!

That's what they all say ??
Seems to be the case, as he mentioned leaving deposits to secure materials. Ie no credit terms being offered.

Andeh1

7,113 posts

207 months

Thursday 26th May 2022
quotequote all
poo at Paul's said:
ClaphamGT3 said:
joshcowin said:
Its not for our cashflow its to show the customer is committed!

That's what they all say ??
Seems to be the case, as he mentioned leaving deposits to secure materials. Ie no credit terms being offered.
All the more reason to avoid!

joshcowin

6,812 posts

177 months

Thursday 26th May 2022
quotequote all
ClaphamGT3 said:
That's what they all say ??
A £5K deposit really doesn't factor into cash flow in all honesty that's not going to make a noticeable difference. But crack on making smart comments smile


J6542

1,631 posts

45 months

Thursday 26th May 2022
quotequote all
The double glazing company I do alot of work for take a 10% deposit when signing the contract. And it’s only to make sure that the customer stays committed.
When they first started trading 20 years ago they never took deposits, but got shafted a few times by people cancelling jobs a few weeks before the agreed start date, leaving them with a house worth of windows which are no use, and severely out of pocket.

DBSV8

5,958 posts

239 months

Sunday 29th May 2022
quotequote all

always sign a contract , normal 50 %up front for material's 50% on completion , check trade reviews , are they VAT registered if not alarm bells , if its a cash in hand job it depends on the size of the job £600 buys a lot of guttering

Nimby

4,601 posts

151 months

Sunday 29th May 2022
quotequote all
If you pay £100 of the deposit by credit card you're covered by your bank for the full amount even if the balance is paid by cheque or bank xfer.
(Section 75, Consumer Credit Act).

If the builder/supplier wont take £100 on a credit card, walk away.

  • You might also be able to do a chargeback if you paid by debit card, but that's a voluntary scheme not enshrined in law.


Edited by Nimby on Sunday 29th May 09:41