Is it fair to ask for a deposit for building work?

SydenhamD

I started another thread where I've been quoted £3500 to replace a shower room (I've knocked him down by £500).

However he said he can't do the work until 1 December and won't do it unless I pay £1000 deposit over the next couple of weeks.

I've never heard anything like this and am now really suspicious. Is it reasonable to ask for this amount for a deposit so far in advance of the job or at all? No other building job I've had done has asked for a deposit up front.

simpywimpy

I must admit Ive not been asked for a deposit on such a small cost of work. If it had been an extension, then I would have said yes because the cost of the materials will be huge but I would then be looking at a job costing me 10k or more.

If you don't feel comfortable doing this, then find someone else and trust your gut feeling but you may pay more.

You could of course say you will pay staged payments but £1000 up front is a lot if you don't know this person.

keystone

Sounds like its for material purchase to me. From your other thread I'm guessing £ 1k is about right to cover it all.

Seeing as how you've negotiated £ 500 off thats prolly more than he would be making to cover his markup on materials so it isn't unreasonable IMHO to ask for you to pay for materials up front.

Cheers

bosseyed

I wouldn't say that £1000 consitutes a resonable deposit.

For £3,500 worth of work then £1000 seems pretty over the top. A smallish up front payment of a couple of hundred quid is more the norm to buy materials with, but a third of the job up front? I wouldn't be happy with that, but ultimately it depends on how much you trust the guy who will be doing the work.

In all the building jobs I've had done the most I've ever paid up front was £200 for materials, for a job worth around £4,500 (Building works and new kitchen). The vast majority of tradesmen I've used have been happy to have the full amount on completion.

keystone

bosseyed wrote: »

A smallish up front payment of a couple of hundred quid is more the norm to buy materials with, but a third of the job up front?

How big in the material content on this job? The OPs other thread says its iro £1k. The contractor has been knocked down 12½% on his quoted price already but his costs will not change. So his project finances have taken a hit and he's looking to offset that a bit against cash flow I suspect. Where did you get the idea that his material costs are in the region of £ 200?

Cheers

bosseyed

keystone wrote: »

How big in the material content on this job? The OPs other thread says its iro £1k. The contractor has been knocked down 12½% on his quoted price already but his costs will not change. So his project finances have taken a hit and he's looking to offset that a bit against cash flow I suspect. Where did you get the idea that his material costs are in the region of £ 200?

Cheers

I'm not suggesting all his material costs are £200 for a job that size - that would be daft. I'm suggesting that, like every tradesman who has ever done work at my house, for a job in this price bracket he shouldn't have an issue to suck up the initial cost for the slightly larger materials (bath, shower, whatever) to get the job done with maybe a few quid up front for bits and bobs - fixings, sealant etc etc and to also 'book' the job with the client to prevent them pulling out and leaving him with a hole in his working schedule.

In my experience, most decent tradesmen don't expect the client to cough up such a large percentage of the job price upfront - they have the cashflow and system in place to cover the intial outlay. If the guy doesn't have that then I agree thats probably why he wants the £1000 upfront - which I'm saying isn't necessarily the norm for this price of job, but isn't necessarily a problem depending if the OP has the £1000 to hand at the moment or if he trusts the guy who will be doing the work in a months time.

I'd also say that the fact that the OP has knocked off £500 from his quoted price already should have little bearing on how much deposit is paid. If the guy is happy to do the work for £500 less then thats his look out. I've had plenty of builder etc who refused to take much off a quoted price and either I have to compromise or they have to compromise.

Canucklehead

Good afternoon: for central heating installations/boiler changes, my OH now asks for a 35% payment on the day he starts the job (25% for bathrooms). If a potential client baulks at this requirement, then they are welcome to procure the services of another RGI/plumber.

A tradesperson never knows if the customer will settle the invoice once the job has been completed as per the terms of the contract...trust goes both ways.

HTH

Canucklehead

SydenhamD

To be fair I offered to pay the deposit on the day he started, but I got a blunt text back saying he wouldn't do the job if that was the case. Which, to be honest, has made me even more uneasy.

I accept the point about getting materials but I don't think it's unusual for builders to buy these up front, especially if I'm offering the £1000 in cash on the day he starts.

I'm quite disappointed as he did a good job for someone else I know and was hoping to go ahead.

baldelectrician

bosseyed wrote: »

In my experience, most decent tradesmen don't expect the client to cough up such a large percentage of the job price upfront - they have the cashflow and system in place to cover the intial outlay. If the guy doesn't have that then I agree thats probably why he wants the £1000 upfront - which I'm saying isn't necessarily the norm for this price of job

I take a deposit for all work over £200.

I take a third deposit initially as I have to knock back other jobs to pencil in this one.
I accept payment by credit card so the client is protected by the consumer credit act

I work this way and I prefer not to do work if someone doesn't want to pay a deposit. I get a lot of my work from work of mouth.


For larger jobs I do staged payments. Deposit, third on frist stage completion and final third on finish

For contract works I invoice each Friday for the previous week / part of week.

1984ReturnsForReal_2

So you want the guy to wait until the day he starts to order your sink, shower, bath, toilet (at least 2 of these) equating to more than £600 for you (taken from your original post) or pay for these out of his own money?


:rotfl:

simpywimpy

I would go with your gut feeling OP. If you feel uneasy, find someone else rather than worry about it.

Payment on the day he starts seems fair as he can always pay for his stuff on collection or on delivery to your house if easier for him.