Invoicing
Progress billing
Invoicing a long job in installments tied to completion milestones.
Definition
Instead of one invoice at the end, the contractor bills (for example) 25% on signing, 25% at rough-in, 25% at finish, 25% on completion. Keeps cash flowing and reduces lien risk.
Related terms
Invoice
A document a business sends a customer requesting payment for goods or services.
Construction
Skilled trades that build, remodel, or repair structures.
Retainage
A portion of a contract amount withheld until the project is complete.
Deposit
An upfront payment that reserves the job or covers materials.