Paying half up front

[KyleFz6]

Having a new kitchen fitted plus other things done like new doors etc

We're supplying the kitchen, he's supplying doors, plasterboard etc but wants 50% up front from total cost which comes to about 5k.

He does come recommended but I do feel uncomfortable with this, there is pretty much no chance of that money back if he disappears or if there is issues with the work. I always thought the standard procedure was payment on completion or staged payments after work has started? I'm happy to put a down payment or maybe just pay for the more expensive parts but 50% seems excessive

Happy to hear thoughts

 

[Mottie]

No way. Pay for the materials when they are on site then pay as you go in agreed stages until finished. Maybe a bit up front to show goodwill but not £5k.

 

[Old Salt]

So tell him you feel uncomfortable about 50% and ask to alter tge down payment.

For my extension I paid 25% once materials on site, 50% at roof height and the remainder on completion. Alternatively pay by credit card.

 

[noseall]

Having a new kitchen fitted plus other things done like new doors etc

We're supplying the kitchen, he's supplying doors, plasterboard etc but wants 50% up front from total cost which comes to about 5k.

He does come recommended but I do feel uncomfortable with this, there is pretty much no chance of that money back if he disappears or if there is issues with the work. I always thought the standard procedure was payment on completion or staged payments after work has started? I'm happy to put a down payment or maybe just pay for the more expensive parts but 50% seems excessive

Happy to hear thoughts

Dubious.
We only ever ask for money once there is actual value on site.

 

[blup]

Not half the cost especially as you are supplying the kitchen.

 

[mrrusty]

Just no. In 40 years of employing tradespeople I have never paid more than a token goodwill deposit up front. There is no valid reason to do this.

Now in trade myself, I don't take deposits at all (but as a handyman all my work is under about 1.5K). What I do have is some decent Ts and Cs which I draw to the customers attention that clearly shows their liability if they cancel, particularly for bespoke goods, and the Ts and Cs go out with every quote of any value.

For bigger jobs stage payments for work completed is the only fair method for both sides.

 

[StephenStephen]

Having a new kitchen fitted plus other things done like new doors etc

We're supplying the kitchen, he's supplying doors, plasterboard etc but wants 50% up front from total cost which comes to about 5k.

He does come recommended but I do feel uncomfortable with this, there is pretty much no chance of that money back if he disappears or if there is issues with the work. I always thought the standard procedure was payment on completion or staged payments after work has started? I'm happy to put a down payment or maybe just pay for the more expensive parts but 50% seems excessive

Happy to hear thoughts

I think it might be useful to have a written agreement about who is supplying what, payment schedule etc...

 

[johnny2007]

50% upfront is too much for any job.
Speak to the builder and come to better arrangements.

 

[^woody^]

Never, ever pay for more materials than are delivered, or for work actually done. Never.

If paying for materials up front, pay the supplier direct, then those materials are yours.

If you do choose to help a contractor out with a deposit or suchlike, then that amount should be calculated and reasonable not a random 50% of a random figure. You need to know the contractor's actual costs/expenses to be able to decide on what you want to help out with.

There is nothing wrong with helping out a contractor - especially on-man-bands with tight cashflows, but be aware of the risks. Anything can happen at any time to anyone.

 

[Ivor Windybottom]

The doors will probably be painted to order and will be non-returnable, so I can understand why the fitter wants an advance payment. Customers can be unreliable too, he doesn't want to pay for a load of doors if you change your mind, run out of money, turn out to be a timewaster or whatever.

Really you need to ask the fitter to let you pay the supplier directly for the doors, for delivery directly to you. Get him to send you the bill.

 

[johnny2007]

The doors will probably be painted to order and will be non-returnable, so I can understand why the fitter wants an advance payment. Customers can be unreliable too, he doesn't want to pay for a load of doors if you change your mind, run out of money, turn out to be a timewaster or whatever.

Really you need to ask the fitter to let you pay the supplier directly for the doors, for delivery directly to you. Get him to send you the bill.

He won't do that because he's getting a cut.
That's normal practice in the building trade, especially with custom built products and I don't see anything wrong with it.
After all, the builder wastes a lot of time dealing with suppliers and a markup is justified.
Personally I marked prices up on few occasions and charged more on labour/managing, but it's basically the same thing.

 

[Ivor Windybottom]

He won't do that because he's getting a cut.

I realise that. But £5k has already been agreed, to cover the lot. So if the doors cost £1k then the labour is £4k and everyone's happy.

If he wants upfront payment then he needs to be transparent. If not then he must carry the risk, and it sounds like he doesn't want to.

It's probably heading towards a fall-out, where the customer doesn't want to pay and the tradesman doesn't want any risk. I'm suggesting a compromise.

 

[pete01]

Im currently having some building work done and hes told me payment on completion.

 

[opps]

Im currently having some building work done and hes told me payment on completion.

Not a payment schedule?

I am only a lowly self employed decorator, materials are often between 10-20% of the final cost. Building work will often have higher material costs and, potentially, subcontractor costs.

Your builder clearly trusts you. Fair play to both you and him. In the (hopefully) unlikely event that you kick the bucket whilst he is doing the work, he might be out of pocket for months (with wages to pay and thousands of pounds of tools that are not accessible).

 

[pete01]

Not a payment schedule?

I am only a lowly self employed decorator, materials are often between 10-20% of the final cost. Building work will often have higher material costs and, potentially, subcontractor costs.

Your builder clearly trusts you. Fair play to both you and him. In the (hopefully) unlikely event that you kick the bucket whilst he is doing the work, he might be out of pocket for months (with wages to pay and thousands of pounds of tools that are not accessible).

Na...the Mrs would pay him...probably