How To Avoid A 3 Month Delay In Your Project

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[@dannymurphy1779]

Great video Martin. I think there is another learning here in that with commercial lending you need substantial funds to be able to get to the stage where you can call on the drawdown funds, you can't be relying on contractors to fund the gap for you! You have to have skin in the game or builders will become nervous about your ability to pay, which seems to be what happened here. You are very likely going to be looking at much higher quotes too.

[@martin-rapley]

Hi Danny. On larger projects where more established contractors are employed it is totally possible to place them on back to back terms with the lender and indeed that is effectively the terms within the JCT Forms of Contract. As you note these larger contractors do have higher overheads so may be more expensive so you have to balance one benefit against the other. I find that showing contractors the agreement from a bank to lend is generally sufficient to demonstrate funds, the key is agreeing the terms in good time.