Falls Church, Va. – From June 6 to 9th, twenty-three plumbing & HVAC subcontractor project managers dived deep into training offered by the Plumbing-Heating-Cooling Contractors — National Association’s (PHCC) Educational Foundation. The Essentials of Project Management class is a boot camp that packs over forty hours of instruction into an intense program that teaches construction project managers the real-world impact of the decisions they make every day on their projects. Viega hosted and sponsored the class at their Educational Facility in Nashua, New Hampshire.
In the cashflow session of the program, lead instructor Kirk Alter of Purdue University explained that account receivables for construction subcontractors typically run past three months thanks to poor billing practices and delays in payment from their customers. These delayed payments require that the subcontractor essentially provide a short-term loan to these customers as the sub pays its bills without cash coming in to cover those costs.
“By contract, you have agreed to be a bank and loan this money for thirty days. But act like one. Banks always collect when payment is due, immediately, not three or four months later,” stated Alter. “Banks do not lend money for free. You must calculate and charge for your cost of capital – how much it costs for you to provide that funding.”
Attendees left the session knowing the impacts of their project cash flow on the company’s finances, bonding capacity and on the strategic decisions being made by the subcontractor business owner.
The next offering of the Essentials of Project Management class will be March 13-16, 2019 in Northern Virginia. More details on the class can be found at http://phccfoundation.org/essentials or can be requested by calling (800) 533-7694.
About PHCC Educational Foundation
The PHCC Educational Foundation, a partnership of contractors, manufacturers, and wholesalers, was founded in 1987 to serve the plumbing-heating-cooling industry by preparing contractors and their employees to meet the challenges of a constantly changing marketplace. For more information, contact a member of the Foundation staff at 800-533-7694 or visit www.phccfoundation.org.
The Viega Group, with a tradition of innovation for more than 115 years, has more than 4,000 employees worldwide and is among the leading manufacturers of pipe fitting installation technology. In metal press systems for industrial, commercial and residential projects, the company is the global market leader. In the U.S., Viega LLC employs more than 600 people and offers more than 3,000 products. These include Viega ProPress® for copper and stainless, Viega MegaPress® for carbon steel and stainless pipe, the Viega PureFlow® System including PEX and fittings in high-performance polymer and Zero Lead bronze, as well as MegaPress CuNi and SeaPress® systems for marine applications. Viega also specializes in the design, production and installation of ProRadiant heating and cooling systems, and offers In-Wall Flushing Technology including carriers and flush plates. For more information, visit viega.us.