Sub Specialty Contractor

  • 1.  Detailed WIP required for Prequal

    Posted 8 days ago

    How does everyone feel about supplying a detailed WIP to general contractors for prequals?  Totally understand the rationale from a risk standpoint on behalf of the GC, however it bothers me to show my gross profits and margins on jobs in progress/completed, some being projects for the same GC.  Sometimes we argue and fight over value of change orders and claims to support our company even when the same project is showing a 25-30% gross margin.  Wondering how the GC interperts our results.  And even if we don't list customer/job names on the WIP, GCs can identify projects on our WIP based on contract values.  Curious as to everyone's thoughs.



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    Paul Calmi
    CFO
    Casadei Structural Steel Inc
    Sterling Heights MI
    (586) 698-2898
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  • 2.  RE: Detailed WIP required for Prequal

    Posted 7 days ago

    I would never send that.  Projects "A,B,C" with contract value and % complete should be adequate. 



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    Shawn Erickson
    President and Chief Financial Officer
    C.J. Erickson Plumbing Co.
    Alsip, IL 708-224-4421
    shawn.erickson@cjerickson.com
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  • 3.  RE: Detailed WIP required for Prequal

    Posted 7 days ago

    Paul, 

    I always remove profit and cost detail from the WIP before providing for a prequal. I basically just provide contract amount, billings to date, and backlog.

    To date, I have not had anyone come back and ask for profits or cost.



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    Jennifer Hayward MBA
    Director of Finance and Administration
    Raven Mechanical LP
    Houston TX
    (281) 977-6148
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  • 4.  RE: Detailed WIP required for Prequal

    Posted 7 days ago

    Paul,

    I never share gross profit or margin data.  I remove that information and just send contract amount, billings to date and amount remaining to bill.



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    Brett Huston
    Chief Financial Officer
    MMI Industrial & Steel
    Mesa AZ
    (480) 964-9041
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  • 5.  RE: Detailed WIP required for Prequal

    Posted 6 days ago

    Paul,

    I agree with the others who do not provide that detail, providing a job list with contract amount, billed to date, and the balance to bill as the backlog. Our accountants provide long form and short form formal financials, and we only submit the short form version with no supplementals for prequals. 



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    Jeffrey Michael CPA CCIFP
    CFO
    Cippco, Inc.
    Philadelphia PA
    (215) 335-1401
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    Original Message


  • 6.  RE: Detailed WIP required for Prequal

    Posted 3 days ago

    Agreed. When a detailed WIP is requested as part of a prequalification, we provide only the job name, contract amount, and percent complete, and we've never had a GC request anything beyond that. The only parties who see the full detail are our bank and bonding partners.



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    Kim Timmons
    Director of Finance
    Pacific Southwest Structures, Inc.
    Lemon Grove CA
    (619) 469-2323
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