May 21, 2025

A hidden crisis is crippling the construction industry: widespread payment delays. A new national study from Built reveals contractors regularly face slow payments, creating a domino effect of inflated costs, project cancellations, and reduced competition. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250521182315/en/ Built's latest survey of U.S. general and subcontractors reveals that payment delays are the top threat to the industry—more than labor shortages, tariffs, or inflation. The visual highlights how delayed payments lead to rising costs, stalled projects, and reduced competition. Key findings include 70% of contractors experiencing payment delays, 76% willing to offer discounts for faster payments, and only 1 in 4 satisfied with their back-office tech. Top causes of delays include tech friction, financing slowdowns, and administrative inefficiencies. A national study from Built , conducted by Talker Research, reveals payment delays are crippling construction progress. According to research involving 250 general contractors and subcontractors, a staggering regularly face delayed payments, causing serious disruptions: Higher costs : Contractors inflate bids by an average of to protect themselves against slow payments. Project cancellations : Over one-third ( ) have seen projects canceled or significantly delayed due to financing gaps. Reduced competition of contractors say a developer's payment reputation significantly affects their decision to bid at all. These hidden delays don't just frustrate contractors—they silently drive up costs for everyone involved, including developers and, ultimately, consumers. The broader economic implications are clear: of contractors say the pace of construction is a reliable indicator of overall economic health. With nearly of contractors also concerned about tariffs compounding these challenges, inefficient payment systems are amplifying economic pressure across the construction ecosystem. “Payment delays aren't just administrative headaches—they're adding significant hidden costs to construction, especially with already strained budgets where fewer projects pencil,” says Chase Gilbert, CEO of Built. “If projects are stalled, your money isn't working for you; it's working against you. Developers who are slow to pay are costing themselves more than they may realize—whether they see it or not.” The federal government is already phasing out paper checks to curb fraud and delays. Construction, one of the most capital-intensive sectors in the U.S., stands to benefit enormously from similar innovation. And according to the survey, contractors are ready: Incentives for Faster Payments: of contractors are willing to offer discounts for guaranteed faster payments. Adoption of Digital Payments: are open to using digital payment systems if it accelerates their cash flow. Easing Inflationary Pressures: Nearly believe that quicker payments could help alleviate inflationary pressures intensified by tariffs. “Delayed payments don't just frustrate contractors—they create a ripple effect that drives up costs, derails schedules, and erodes margins throughout the industry," said Gilbert. “Modernizing payment workflows isn't just about speed—it's about protecting profitability, reducing overhead, and accelerating capital inflows. When capital moves efficiently, everyone benefits—from developers to communities.” To explore these findings in more detail, read the full blog and register for an upcoming webinar for a deeper dive into how digital payments can help keep your projects on time and on budget. Survey Methodology The online study was conducted by Talker Research in April 2025, on behalf of Built. It includes responses from 250 U.S.-based general contractors and subcontractors across residential, commercial, and infrastructure projects. The results reflect a 95% confidence level. About Built Built is transforming how business gets done in real estate and construction. Purpose-built for this complex, high-stakes industry, the Built platform powers over $100 billion in construction annually. Over 300 lenders, 46,000 owners and developers, and 32,000 contractors rely on Built to move capital faster, reduce risk, and make smarter, data-driven decisions. Backed by 800+ years of collective industry expertise, Built is where the real estate ecosystem connects, collaborates, and grows. Learn more at getbuilt.com View source version on businesswire.com: https://www.businesswire.com/news/home/20250521182315/en/ “Payment delays aren't just administrative headaches—they're adding significant hidden costs to construction, especially with already strained budgets where fewer projects pencil." - Chase Gilbert, CEO of Built Contacts Media Contact: Contact Nick Halliwell ( nick.halliwell@getbuilt.com ) for interviews with Chase Gilbert and access to additional data