VIDEO: Trouble in Subcontractors’ Cash Flows
Thea Dudley speaks with Jill Bloom regarding how subcontractors paid $97 billion more than expected for labor and materials in 2022, which has an impact on their profits. In this episode of “If Walls Could Talk,” W&C’s Bloom speaks with Dudley of Pocket Protectors, also known as the “Credit Overlord,” to talk about how recent economy increases have affected subcontractors’ cash flows.
The biggest issue Dudley had with subcontractors paying more than expected was that subcontractors’ average wait time in order to be paid was 74 days. In the meantime, they had to pay their employees and pay for materials.
“So, when you look at [the 74-day average wait time], that can be detrimental to your cash flow,” Dudley says. “And for a supplier, looking at that, I can’t give you what I don’t have, as a customer, so worrying about how that’s pulling together is a big deal.”
For more information on this story, read the story on our site: 2022 Subcontractor Costs Were $97 Billion over Expected Amount.
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