Cash flow is the ‘Lifeblood’ of the construction industry...
The role of Quantity Surveyors and Cost Managers is to create and implement workflows, systems and procedures in order to ensure that:
The right entity, is paid the right amount, at the right time.
Achieving the goal above requires a great understanding by Quantity Surveyors and Cost Managers of the following:
1. Funds available
2. Sources of funds
3. Budget
4. Forecast
5. Financial Exposures
6. Amount Committed to date
7. Amount paid to date / Actuals
Therefore, Project Financial Control & Reporting, and effective cash flow management are crucial strategies to the success of a real estate and construction project.