Getting paid as a Sub-Contractor.

[Ted Markow]

I too started out in a shop like that but I knew no different. I just assumed that all the industry operated in the same manner. Over the years I have been a part of different segments of the business world. Union worker, management, foreman, business owner and other sorts so I had a good idea how things should run. Same principal no matter where you are. Didn't take me long to see the light. I documented everything and left nothing to just their records. the day before I left I handed them two invoices. First one was what they owed me and the second was a copy addressed to the appriasers board with copies to the state labor board and Atty Generals office. Next day when leaving for the last time there was a check in the 5 figure range. Boy that must have screwed their workmans comp payment for that quarter as it is based on gross income of the employees. My credo has always been mess with me all you want but DON'T EVER MESS WITH MY PAYCHECK because you will have to pay me to mess with you

 

[Jim Onderisin]

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While it is normal to not get paid until the company receives payment for your work, I would say that no, to not be paid for over 6 months is not a normal course of business....... Regardless of whether a loan closed or not you still should have been paid before then. Mortgage companies should always be C.O.D. AMC's and banks usually pay within 15-30 days. It appears that whomever is in charge of accounts receivables at your company has dropped the ball on those invoices???

I don't agree. As a subcontractor, I get paid when the contractor and I agree that I get paid. As a subcontractor, I've been paid every week, every two weeks and every month. I've never been paid when the contractor got paid...never. I'm not saying you can't do it that way... I'm just saying its not necessarily "normal", unless of course, it's "normal" for YOU and YOUR subcontractors.

 

[Rufus]

I subcontract from other appraisers and have had the same agreement with all of them. Whatever I complete this week is paid on Friday of the next week. I have no contact with their client and my agreement is with the shop that sends me work.

 

[Ted Markow]

Remember value and payment of the appraisl is ont contingent on the closing of the loan. So why would any one want to agree to letting some one elseplay woth your money for a couple of months
They earn interest on your money while you pay interest on the credit card to live. Something wrong with that senerio.

 

[Karl]

What happens IF those you done business with go under before your "Boss" gets paid. that mean your out the money?? In todays market SORRY but get a lawyer ASAP!! OR at least tell him your going to the state to find IF what he's doing is even legal.

 

[JT1974]

My employees are not my partners. They do not share in the risks nor do they share in the rewards.

They get paid as employees every two weeks whether I get paid or not. That is the way it has been since 1986. They have Workmens Comp and Unemployment Ins. and buy into health Ins.

When I started my firm I worked my butt off and built up working capital. At one point I got a line of credit secured by real estate. I had close to 30 employees in the early 90s and a huge payroll. Today its a much smaller operation and easier to manage.

I don't believe in this "you get paid when I get paid stuff". When I first started in this business I worked that way and got screwed. I promised I would never do that to anyone and to remind me of it I kept a copy of one of my former employer's payslips he never made good on as well as a check he bounced to me. It was my motivator. Every time business got tough or cash was slow I opened my drawer and looked at it and felt kick in my azz and I got out there and made things happen.

Once receivables go over 90 days the chance of ever getting paid diminishes rapidly. If you operate on this basis; its not "if", its "when" you will be screwed.

If as an employer you can't pay people regularly you have no business hiring them. You are not a businessman. You are just playing businessman and playing with other people's livelihoods and the welfare of their loved ones. Being an employer is like being any kind of leader. There is a trust between you and those who give you the power to lead them. You serve them just as they serve you and if both of you hold up you end of the bargain there is prosperity.

I make no excuses and offer no apologies for the uncivil tone of my post. I have seen far too many people in this business taken advantage of.

I couldn't have said it better myself.

 

[Bamba]

When I was in training, my mentor used to pay me the same way..."when I get paid, you get paid"...so every week I would get a check for whatever was paid the week before...when I left, there were still a couple of appraisals that weren't paid...and I never got paid on them...now I don't have any records of anything that was paid or not...he told me once that's the price one pays for training to become an appraiser...sad!!!

 

[Mike Boyd]

Is there any way for you to confirm that the loans have closed? Access the county records to see if the mortgage has recorded. If you can, make copies of the filing. For loans which may have fallen through, call the lender/MB's accounts payable and tell them you're cross-referencing your records with theirs. See if they've paid on the outstandings.

Document everything and then go to your powers-that be, show them your evidence (after keeping a copy for yourself) and let them know that these things have been "over-looked" and that you're relieved they can now include them in your next paycheck.

The "should haves" and the "would haves" aside, Alison has the best remedy. Confirming the loan closing should be the same as way you confirm a sale. A refi closing is recorded and as a sale would be recorded.