Supply chain disruptions are ever present and show no signs of going away anytime in the near — or perhaps distant — future. One of the biggest challenges I hear from mechanical contractors is rapidly changing prices that are eating up profits after being awarded bids, and before the goods required are purchased. That, and the scarcity of things such as water heaters and HVAC equipment. Wouldn’t it be nice to have the ability to buy those products well in advance of needing products on a job site?
I started my own mechanical contracting business in September 1979, in the deep depths of a recession. In order to survive, I needed to insulate my business from all potential business killers: Customers not paying on time, or maybe not at all without a legal fight; general contractors who are notorious for delayed payments or who go bankrupt; commercial customers who often drag out payments for 90 to 180 days; ensure the supply house bills were always paid on time to obtain the discounts; and last but certainly not least, ensuring payroll was met without fail.