Organized Method Wanted

Wensdy

does anyone have an organized method of charging supplies that subcontractors charge?

example: I am starting a new project, and my subcontractors go to the site and do their work. they might need to get additional supplies, so they are allowed to go to Sherwin Williams to charge. the painter will get 32 gallons of paint for one project and additional 10 for another project. I need to control how much is getting charged and for what project. my bills from Sherwin are pretty high

do most of you use PO's, or stock your own supplies? how do you organize supples for each project?

marc

We have the same situation. My supplier has been instructed to not release any materials without a job name. (We use job names, Not P.O's) They also must call the office if the amount is higher than a certain number.

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Marc

realpurty2

Contact your vendors and set up individual job/project accounts. At the start of any new project, call the vendors you will be using for that project and have a job account created in the name of the project. You can restrict the limits purchased on that account and also it keeps your main account clear if that particular job ends up being slow paying.

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Woman in a Man's World.

Stone Mountain

Nobody buys anything from my suppliers without a purchase order from head office.
If they come in with bills they've paid, I'll re-imburse them as long as it's reasonable.

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Residential Deck Specialist: Vist our Website
www.fenceanddeck.ca

realpurty2

I tried to keep silent on that portion of your post but the more it weighed on my mind, the more I couldn't keep quiet. (It's a woman thang.. )

Why are your subcontractor's purchasing their materials on your accounts anyway?? If it's a firm price subcontract bid, the extras should come out of their pockets unless it's a change order authorized by both parties. If it's T&M work then they should purchase and bill you for it at invoice time.

Not busting chops, but allowing anyone outside your company to have purchasing ability is a fast track to the poor house.

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Woman in a Man's World.

mdshunk

I have a feeling somebody's 1099'ing labor only.

BRNDIVY

Why do you allow subs to purchase on your accounts? Do you trust that they properly accounting for waste and returning unused items?

Danahy

If I sent Ron to pick up paint for a job at 25 Lincoln St. The P.O. would be #Ron-25 Lincoln St.

Mike Finley

I thought the same thing from the beggining but just figured it's probably because his subs are broke dick bust-outs who can't afford to purchase materials.

We only do it two ways, here's the job and here are the materials that we are supplying, if we supply the materials we make sure we are supplying enough of those materials for the job, there is no such thing as running out, only somebody screwed up on their end and blew a lot of good materials up. The other way is here is the job and we want you to supply all the materials. Invoice me at the end of the job for the full amount of the job. If the sub isn't solvent enough to work that way, we don't want him anywhere near the job, because not being able to pay for mateials will always turn out to be the least of the problems he will bring with him.

Brian

We do it like Marc. The customer's name serves as the PO.

Doing it this way:
1. Puts the responsibility for having enough materials on the sub. I don't have to drop everything to pick up a gallon of paint.
2. Provides me with a method for ensuring the products specified in the contract are the products used.
3. Provides me with paperwork to put in the customer's file for future reference.

Brian Phillips

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Houston Interior Painting
Houston Exterior Painting
Houston Painting Contractor