A formal document filed by a subcontractor to preserve lien rights on a project before work begins or early in the job. It notifies the property owner and general contractor that you have a financial stake in the project. Without it, you may lose the right to file a lien if payment is withheld.
Preliminary Notice
Related Terms
Price Book
Cash FlowA document listing agreed-upon rates for various services, equipment, and materials between an operator and contractor. Field tickets are validated against the price book before approval.
Project-Level Debt
Cash FlowFinancing borrowed against a specific project's revenue, not the owner's overall assets. Subcontractors should know this because payment depends on that project performing financially. If the project underperforms, your invoices may be delayed or disputed.
Red Flag Warning
Cash FlowA signal that a client or project poses serious financial or operational risk to a subcontractor. Common triggers include late payments, scope disputes, or sudden crew access restrictions. Recognising these early helps subcontractors protect revenue and avoid costly disputes.
Bid Accuracy
Cash FlowHow closely a submitted bid reflects the actual cost of completing a job. Poor bid accuracy leads to underbilling, cost overruns, or lost contracts. Subcontractors track it to sharpen estimating and protect margins.
Commercial Misalignment
Cash FlowA disconnect between what a subcontractor quoted and what the client expects to pay for. This often surfaces during invoicing when scope, rates, or billing terms were not clearly agreed upon upfront. It can delay payments and strain relationships with prime contractors.
LEM (Labour, Equipment, Materials)
Cash FlowA breakdown of costs on a field ticket or invoice, separating charges into labor hours, equipment usage, and materials consumed.
Latest Cash Flow News
Gordie Howe Bridge Opens to Pedestrians as Vehicle Traffic Begins
The Gordie Howe International Bridge between Windsor and Detroit opened to pedestrians and cyclists this week, following last week's opening to motorists, according to a Canadian Press report via Daily Commercial News.
4 days agoCash FlowTalos Energy Takes 50% Stake in Repsol's Deepwater Mexico Block
Talos Energy will pay up to $50 million to acquire a 50% working interest in Repsol's Block 29 offshore Mexico, targeting FID in 2027 on a discovery holding over 200 MMboe.
12 days agoCash FlowGordie Howe Bridge Set to Open Monday After Canada-Only Ceremony
Windsor held a Canada-only ceremony for the Gordie Howe International Bridge ahead of Monday's opening, after Ottawa scrapped a joint U.S. event amid tariff tensions.
17 days agoCash FlowNew CHPE Line Pushes NY-Canada Power Trade to 18-Month High
The EIA reports New York imported a record 52 GWh of Canadian electricity on July 3 as the new Champlain Hudson Power Express line ran at full 1,250 MW capacity during a summer heat wave.
20 days agoRelated Guides
What Happens to Subcontractor Billing When a Project Stalls, Goes Over Budget, or Never Gets Commissioned
You did the work. The project was cancelled, shelved, or never activated. Here is what subcontractors need to know about billing rights, legal remedies, and how to get paid when no one wants to discuss the invoice.
Cash Flow GuidePost-Completion Warranty and Punch Work: Protecting Your Margins After the Job Ends
Warranty walks, punch lists, and post-completion callbacks eat into subcontractor margins. Learn how MSA warranty clauses work, when you can push back on mobilization costs, and how to document your way out of disputes.
Cash Flow GuideMechanic's Lien Rights for Subcontractors: What to Do When You're Not Getting Paid
A practical guide to mechanic's lien and materialman's lien rights for oilfield and construction subcontractors in Texas, Oklahoma, and Alberta — deadlines, filing steps, and leverage tactics.
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