Are You Reacting to Your Bank Balance Instead of Managing It?

For a lot of subcontractors, cashflow anxiety is a genuine ongoing part of their business.

Sometimes it even feels easier not to look too closely and just hope it sorts itself out.

The problem is, cashflow on construction projects isn’t random.

It’s structural, built into the way that construction works.

A clear cashflow forecast gives you two things most subcontractors are missing:
the ability to make proper decisions, and the ability to sleep at night.

On most jobs, cashflow is balanced in favour of the main contractor.

Work starts on 1 January.
Your application goes in on 1 February.
Payment arrives around 1 March.

Everything in between – wages, materials, overheads – is funded by you.

That doesn’t mean the job is unprofitable. It means the timing is working against you.

The good news is there are things you can do to protect yourself, starting at contract stage and running all the way through to final account.

But the first step is understanding how cashflow works on a project, not just reacting when the bank balance drops.

Rickie has put together a short video breaking this down clearly and practically.

It’s under four minutes.

Because if you can’t explain something simply, you probably don’t understand it.

If cashflow has ever kept you awake at night, it’s worth the watch.