Understanding Payment Obligations in GC Contracts: Insights from Rick Holtz

"The owner hasn't paid us yet."

It's one of the most common... and most frustrating... explanations a subcontractor can receive when chasing payment from a general contractor.

And on Episode 23 of Success Beyond the Brush, Rick Holtz makes a point that every painting contractor working in the GC space needs to understand clearly.

The logic is straightforward...

🔹 Your contract is with the general contractor... not the property owner
🔹 You completed the work to their satisfaction
🔹 You submitted your invoice
🔹 At that point... payment is owed to you

What happens between the GC and their client is a separate financial relationship that you are not party to. And it should not determine when... or whether... you get paid for work you have already performed.

As Rick puts it... if payment ultimately depended on the owner releasing funds... the contract should have been with the owner directly. But it wasn't. And that means the GC carries the responsibility of paying their subcontractors regardless of when they collect from above.

This is exactly why Rick emphasizes vetting payment practices before ever submitting a bid...

🔹 Talk to other trades working with that GC
🔹 Ask directly... do they call you when your check is ready or do you have to chase it?
🔹 Discuss payment terms at the time of bidding... not after the work is done
🔹 Understand their draw schedule and cut-off dates so you never miss a payment cycle

The contractors who treat their subs well... pay promptly... and take responsibility for their obligations? They exist. And they are worth every effort it takes to find them.
Don't finance someone else's project. Know your contract... and hold the right people accountable to it.

🎧 Listen to the full episode on Success Beyond the Brush... now available on Apple Podcasts, Spotify, and YouTube.

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