Do you pay your tradesmen upfront?

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Do you pay your tradesmen upfront? We found an electrician we like but he’s asking for 50% upfront (£3500) which I think is quite a lot.

the other trades we’ve employed so far (plumber, Gad engineer, repointing) have been pay on completion. I was a bit surprised when he asked for 50% upfront. I worry that it’s a sign the business has cash flow problems.

Usually one third to start to buy materials, one third half way through and last third on completion.

If they have to spend a lot on materials I would expect to pay something upfront, yes. The amount depends on them though, they can ask for what they want upfront and if you don’t agree find someone else. It’s not always cash flow problems it’s often due to customers being pisstakers.

I have a friend who is owns an electrical/plumbing business. He always asks for a deposit up front to cover the full cost of materials needed. If people don't pay he refuses the work.

No. I have occasionally paid a nominal deposit to secure the time slot and for something that needs costly materials maybe something up front for those, but on the whole, a solvent, reputable tradesman will have accounts with the suppliers so that shouldn't be needed.

Managing the cash flow (and pisstaking customers) is part of your work when you work for yourself. It's not for other customers to do and £3500 upfront when you have no guarantee he'll actually turn up is a big risk. The tradesman has the advantage of knowing where you live so it's harder for you to disappear.

@LongPath thats what I was thinking. He knows where I live and also I’m not able to liquidate and restart a new business under a new name.

I’d pay for materials but only if I see an itemised receipt. And 5-10% for the booking slot.

I’m going to suggest that and a more staggered payment schedule, preferably work- based, not time.

No. Not any of them, including builder, electrician, decorator, plumber, plasterer, house maintenance guys and the company that built our outbuildings. All of the individual trades people I use have accounts with trade counters etc and I’ve never paid for anything up front. I have known and used them all for years now, but it was no different in the beginning tbh.

Nothing wrong with paying something upfront for materials but £3500 is too much. I’d offer half that, the other half midway through the job and the rest at the end.

I’m going to suggest that and a more staggered payment schedule, preferably work- based, not time

Thats another point, I’ve only ever used people who estimate/quote for the job (never been ripped off after an estimate either, but as I said I’ve now known them all a long time and know they’re trustworthyness). I’ve never, and never would, used someone who uses a time based quote. If you do make sure you’re project plan has on built reference to time delays and how they will be handled/paid for.

I've only done this 5 times:

• 3x to large firms with proper contracts and both times paid by card
• 2x bank transfer / cheque to 1-man company. Both times scammed and builder walked off after payment

So never upfront for small companies. Even if it means I pay more. Because I have been scammed the two times I've paid upfront. I only pay upfront for large companies with a proper office and contract.

Materials, yes. Labour once the job’s done.

God no! If materials are needed I will go with them to order or order online and get the items shipped to my house.

No never paid upfront like this.
But what we have done is ordered/paid for the materials for our shower room upfront on plumber's trade account and had them delivered to our house for job starting.
That way, if plumber didn't turn up then at least materials belonged to me and I could've got someone else to fit.
Could this be an option plus maybe a small deposit to secure his timeslot?

As a general rule tradesmen ask for deposit, enough to cover material.

I have a regular odd job man who I pay in full upfront because he is really struggling financially. But I have known him for over 20 years and do it more of a favour at the moment.

I would never pay in full if I didn't know their work and reliability

Thanks. That’s a good idea about getting the materials sent direct to your house. I’m going to get more quotes incase he doesn’t agree to these things. My partner is much more relaxed. He paid 50% upfront for someone to come and inspect his boiler (ie no materials).

No, never. Not even for materials, although I have bought these myself in some instances, but not often.

If the tradesperson hasn't enough flex in their accounts to pay for stuff upfront then I would be wary, unless I had used them before and there was a good reason. I certainly would not pay thousands upfront.

No, never and I've had a lot of work done to our house over the years.

OP, how are you getting recommendatios for tradespeople? If somewhere like Checkatrade or whatever it is called, be very wary. Word of mouth is much better, good people don't need to advertise.

Apologies for typos!

@ClaudineClare it is check a trade. I’ve only had one recommendation for an electrician and he was so unreliable. Just for the conditions report took him weeks to send.

Only on completion of satisfactory work.

No. I've paid for materials that have been ordered but never pay for labour until the job is done.
That said, I live in a bit of a one horse town where everyone knows everyone so I always know where the trade lives and multiple people who know them so I think they'd have to be a special kind of stupid to pull a stunt with someone's cash around these parts.

We've recently had work done by a plumber & electrician both of whom we paid on completion of the work, nothing upfront.

The kitchen fitter that the kitchen company tried to get me to use wanted £3k in actual cash on the day of booking, then the rest of the money on day one. Materials already here. Clearly he didn't get the job!

The only time I've paid up front recently were

1. guy doing paving work who wanted 1/2 the cost of materials. He was recommended by friends though and I'd no real worries about him.

2. a greenhouse - it's being shipped by a 3rd party and I've had to pay the green house people via them. I'm getting a bit worried that it might not turn up.