by Simplar | Aug 10, 2023 | Project Selection, Project Selection, Risk Management, Risk Management, Weekly Construction Message
“Ya Puts Up Ya Money…Ya Takes Yer Cherce” Thomas C Schleifer, Ph.D. So says Charles Dickens’ racetrack tout in his native cockney accent. This colorful character in Dickens’ 19th century novel describes construction contracting more accurately and concisely than all...
by Simplar | Nov 3, 2022 | Built Environment, Business Failure, Financial Management and Risk, Financial Management and Risk, Financial Management and Risk, Financial Management and Risk, Weekly Construction Message
CLEAN UP YOUR BOOKS Thomas C Schleifer, Ph.D. While operating the nation’s largest workout firm for sureties, I had occasion to audit the financial statements of hundreds of construction companies that had failed mid-project. While the causes of those failures varied...
by Simplar | May 12, 2022 | Business of Construction, Financial Management and Risk, Organizational Change Management, Weekly Construction Message
No Guesses – No Surprises Cash flow mismanagement is a primary cause of construction business failure. Many contractors started their business undercapitalized and had to apply the art of cash flow management by “kiting” checks, overdrawing working capital lines...
by Simplar | May 5, 2022 | Financial Management and Risk, Financial Management and Risk, Organizational Change Management, Organizational Change Management, Weekly Construction Message
The Science of Cash Flow Management All competent builders should succeed. There is no reason for the contractor failure rate to be the second-highest among all American businesses right behind restaurants. However, because of the complex nature of cash flow in the...
by Simplar | Jul 7, 2021 | Business, Strategic & Project Planning, Business, Strategic and Project Planning, Business, Strategic and Project Planning, Business, Strategic and Project Planning, Current Events/Interests, Leadership, Leadership, Leadership, Leadership, Weekly Construction Message
How is it possible that construction concerns being run by professional managers in the 21st century often run out of cash and suddenly cease operations? Most modern industrial companies have heads-up enough to file a bankruptcy and ask the court to help them work out...
