Rescheduling occurs when a client moves a confirmed job to a new date, disrupting crew and equipment plans. Subcontractors should have rescheduling clauses in contracts to recover standby costs. Repeated rescheduling without compensation can seriously damage a small operator's cash flow.
Rescheduling
Related Terms
Dayrate Model
Cash FlowA pricing structure where subcontractors charge a fixed daily rate for equipment, personnel, or services regardless of output. Rates are negotiated upfront and apply for each calendar or operational day on site. This model gives field crews predictable revenue but ties income directly to days worked, not project milestones.
Close-Out
Cash FlowThe final phase of a contract where all work is confirmed complete, documentation is submitted, and outstanding invoices are settled. For subcontractors, delays in close-out often mean delayed final payment. Completing punch lists, timesheets, and lien waivers promptly helps accelerate the process.
Nonresidential Inputs
Cash FlowMaterials, labour, and equipment costs tied to commercial and industrial construction projects. Subcontractors track these input costs to price bids accurately and protect margins. Rising input costs can erode fixed-price contract profitability quickly.
Suspension Clause
Cash FlowA contract provision allowing the prime contractor or owner to pause work without terminating the agreement. Subcontractors may be entitled to standby rates or cost recovery during the suspension period. Review these clauses carefully, as payout terms and notice requirements vary widely.
Lien Rights
Cash FlowLegal protections allowing subcontractors to place a claim against a property or project if payment is withheld. Filing a lien can prevent an owner from selling or refinancing until your invoice is settled. Deadlines to file are strict and vary by province, so act quickly when payment stalls.
CAPE (Consolidated Administration and Processing of Entries)
Cash FlowA centralised system used by operators to consolidate and process contractor timesheets, work records, and billing entries. Subcontractors submit field data through CAPE to trigger payment and compliance verification. Accurate, timely entries are critical to avoiding payment delays.
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