Triple-Net Lease

When a lender cancels part of the original loan balance owed by a subcontractor or field service company. This reduces total debt obligations, improving cash flow for ongoing operations. It differs from interest relief, as it directly lowers the core amount borrowed.

A U.S. securities regulation allowing large private companies to raise capital without a public stock listing. For subcontractors, it signals a major client may have access to significant private funding. This can affect contract stability and payment capacity on large projects.

The minimum revenue a subcontractor must generate to cover all field operating costs without profit or loss. It includes direct costs like labour, fuel, and equipment. Knowing this figure helps crews avoid underpriced bids that drain cash.

A contract clause that adjusts your billing rate when diesel or fuel prices shift beyond a set threshold. It protects subcontractors from absorbing sudden fuel cost spikes on long-term or remote field assignments. Negotiate the trigger percentage and index reference before signing.

A pricing model where the contractor bills for actual time spent and materials used, plus markup. Common for work where scope is uncertain.

A 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.

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