TROY, NY April 3rd, 2019 – BuildPay, an upstate New York financial technology startup focused on improving the way all construction is paid for, has been chosen as a strategic partner with Aon (NYSE: AON), a leading global professional services firm. Aon’s customers will now have access to BuildPay’s revolutionary payment-risk reduction and end-to-end funds control technology.

BuildPay was selected by Aon’s Global Construction and Infrastructure (GC&I) Technology Assessment Panel, which evaluates startup and emerging technologies in the construction industry that can reduce risk across all lines of insurance involved with construction. The objective of the panel is to foster needed innovation in a rapidly growing construction segment.

“BuildPay is unique in its addressing of chronic payment issues and risk throughout the entire payment chain, unlike the incremental process efficiencies other technology companies have focused on,” said David Bowcott, Global Director of Growth, Innovation & Insight for GC&I.

On the partnership with Aon, BuildPay CEO, Steve Wightman added, “We’re very excited to have been selected by Aon’s innovation group for this opportunity to innovate together. The construction industry’s archaic payment process is ripe for disruption, and Aon getting involved is the catalyst it needs.”

“BuildPay’s blockchain approach advances fundamental benefits of security and transparency with an understanding of the end to end construction payment chain,” said Leah Hennessey, VP of Marketing & Product Development.  “It mimics the way agreements, requests, and payment approvals are happening today.  BuildPay delivers confidence as users will be able to see their funds and get paid quickly – as long as they perform.”

For more information on BuildPay’s payment technology, please visit

About BuildPay

BuildPay, LLC is a payment & construction tech startup located in Troy, NY. BuildPay’s patent-pending SaaS platform connects the entire construction payment chain to their shared project ledger, leveraging transparency and conglomerated buying power to build & get paid faster, while reducing risk.  

About Aon Global Construction and Infrastructure

Aon’s Global Construction & Infrastructure Group (GC&IG) provides leading, best-in-class advice and solutions on the topics of risk and people to the largest, global contractors and infrastructure investors on their most complex projects world-wide. By employing sophisticated and innovative risk management and risk finance solutions, we help our clients to create value from the risk in their projects.

About Aon

Aon plc (NYSE:AON) is a leading global professional services firm providing a broad range of risk, retirement and health solutions. Our 50,000 colleagues in 120 countries empower results for clients by using proprietary data and analytics to deliver insights that reduce volatility and improve performance.

Contact Us

Lenders: Competitive Advantage

The golden rule sums up lenders’ advantage the best. “Whoever has the gold, makes the rules.”  While the bank has the gold, they compete with other banks, who also have the gold.  Their rules are necessary, they do not need to be changed.  There are many companies that argue the execution of the rules are inefficient, but efficiency really does not substantially improve protections for banks or add construction success for customers.  A shared ledger allows banks - as the trusted source of project funding - to set the rules for project payment releases, monitor the project health and all but eliminate any chance of lien.  Cash-flow-lubricated projects attract competition to accelerate work at more competitive prices with superior protections for virtually every player in the chain.

Insurance: Competitive Advantage

Insurers’ obligation to pay is the most potentially powerful tool insurers have, but is very difficult to systematize and scale given the daunting challenges of insurers collaborating with a huge, highly fragmented and complex construction industry.   Since all construction has chronic payment risk and inadequate cash flow, it makes sense for property insurers to use their irrevocable obligation to pay to attract the construction industry.  Since cash flow is most attractive at the project level, inter-industrywide collaboration between insurers and the titans of construction is less important than mechanizing a platform that can be scaled from one project to many thousands of projects.

Government: Competitive Advantage

In some cases, opportunity for small subcontractors (with limited financial wherewithal) is only one part of the total equation.  Some very talented and well run companies still cannot automatically get the trade credit, working capital and cash flow they need to keep pace.  The struggle is unnecessary when the government funding source can allocate contractor-planned and approved payouts directly to these subs.  Similarly, the subs themselves can allocate material budgets to the ledger to enable them to procure all the materials they need without the material provider taking on risk.  Working capital constraints are greatly alleviated, cash flow accelerates and there is no need for trade credit.  Government agencies can see activity on the ledger for each bid project.  Bids improve.  

Why would construction lenders need to change their highly refined processes?

Success for construction lenders means providing their customer with the funds needed to build the project they want.  To protect the bank’s interests, protective draw schedules are put in place to assure the project is done – and done without liens.  Albeit necessary protection, slow draws cost project time and money.  Some oversight, work and material providers avoid working on bank-funded projects, charge more or require large owner-deposits. This is especially true for classes of product that are fabricated offsite and installed after fabrication is complete, when providers are still not paid until after the next draw.  Customers pay interest on capital needed for construction, with process requirements attached that add to the construction cost and delay project delivery.  In a world where settled business models (think taxis) can be unsettled in months (think Uber), this one probably has disrupters’ attention.

Why do property insurers need to change?

Success for property insurers is making their customer whole as quickly as possible and protecting their loss ratio from significantly inflated reconstruction payouts; especially overblown demand-surge prices following disasters.  Insurance reconstruction is the most inflated of any type of institutionally funded work and is getting worse.  Claim departments are startled by the rate of new disadvantages to mitigate, using tools that have not been substantially redesigned in decades.

Why would government funded projects need payment changes?

Many government entities endeavor to help smaller subcontractors and material providers have the opportunity to be awarded contracts.  In some states women and minority owned enterprises are guaranteed a portion of publically funded construction.  Most contractors we talk to are supportive of this mandate, but it comes with unique challenges.  Providing opportunity alone does little to help solve problems with deficient working capital, trade credit at material providers and enough rapid cash-flow to keep up with fast-paced project schedules.  In some cases contractors help these subs as much as possible, but obviously there are some challenges beyond their control.  These problems work their way to the top like air bubbles in concrete.