• In an up-and-down economy, making sure that payments track correctly with expenditures is essential because cash flow is as unpredictable as business.
• Percent-complete for commercial jobs is not about relying on original budgets. It depends on ongoing adjustments to account for changes.
• The best-in-class approach is to start with a contract that calls for guaranteed basic interval payments as a starting point that depends only on reasonable progress that anyone can see. Adjustments can be made upward if work and its costs are ahead of schedule.

From the article:

In today’s construction environment of on-again, off-again project leads and uncertain progress payments, where each project stands in terms of percent-completion matters more than ever. …