Have you ever started a project thinking you’ve got it covered, only to hit a cash flow problem midway?

A construction customer once came to me in a panic: Materials ordered, subcontractors hired, and suddenly… no reserves left to finish the job.

It turned out that they were using funds from another project to support the new one. They didn't have a clear cash flow plan for the new project; it was just a handshake deal with assumptions.

When deciding on a new project, it’s crucial to know when you will receive payment, a deposit, material costs, etc.; otherwise, you might find yourself out of pocket until the final invoice is paid!

We rebuilt the approach:

- Negotiated better payment terms
- Tracked costs weekly

The difference? They no longer needed to rely on previous projects to fund new ones.

How confident are you in your project's cash flow right now?