What is BuildPay?
BuildPay is a revolutionary way to strip the complexity out of construction payments.   The on-line system electronically links everyone in the construction chain, speeding up and assuring payment – which in turn saves time and money on the job.
How does BuildPay work?
Paper checks and chasing down funding becomes a thing of the past. Project funds are held in a bank escrow account and paid directly and quickly through BuildPay. Contractors don’t need to use their own credit for materials because payments can be made directly via a BuildPay ACH card linked to those committed funds. GC’s and subs can get paid immediately, with funds transferred directly into their bank accounts as work gets done.   People get paid – faster and for sure.
Who uses BuildPay?
Construction funders like insurance companies and developers. Project owners and homeowners. Contractor and sub-contractors. All types of construction material providers. BuildPay connects everyone in the construction chain – a series of electronic handshakes that ensures promises get kept and work gets done.
How much does BuildPay cost?
Small transaction fees are paid by the funder. There are no costs, ever, to contractors. Suppliers pay just the small initial set up costs when they join the program.
How do I sign up?
When a project is initiated, you will be invited via email by an owner, or a superior contractor.   Or, contractors can pre-register to get ahead of the process by clicking here.
Where can I use BuildPay?
BuildPay has relationships with thousands of suppliers in the areas we operate – the same guys contractors use on a daily basis. If someone is not in BuildPay’s network, let us know and we will sign them up. Specialty suppliers can also be paid by an acceptation process for hard to get or large quantity materials.
How is the card for materials funded?
Funds in the project escrow account is split into two buckets: one for labor, overhead and profit, the other for materials. Those material dollars can be accessed by using the BuildPay ACH card at the point of sale. Contractors never have to worry about cash flow when buying materials with BuildPay.
How do I get paid?
When a contractor or subcontractor sign up for a job on the BuildPay system, they link their bank account with their profile. Then, an owner or project manager can deposit money directly into their account.   BuildPay users can also see committed funds in the system before the work is done – confirming that there is available money for all the work being done.
How does this speed up the job?
No more waiting for checks to be delivered and cleared. No more stretching credit for materials or taking partial delivery to conserve funds. BuildPay speeds up and simplifies how people get paid, eliminating the normal delays that result when contractors or suppliers are waiting for payment before moving forward.
How long does it take to get paid with the BuildPay system?
BuildPay was built to get people paid. Period. As soon as a project owner sees work completed or a need for materials, funds move. Typically within 24 hours. No more chasing or “put-offs” to get paid.
How do PayWhenPaid and PayBeforePaid work?
PayWhenPaid™ (PWP) and PayBeforePaid™ (PBP) are both payment timing methods that help control project payments. PWP means that subs will be paid the instant that the GC is paid. The BuildPay advantage is that payments always move directly to the intented person/company’s bank account – funds can never be held in an account where they don’t belong. PBP allows subcontractors to get paid ahead of the regular project pay period. Lack of working capital and cash-flow restraints are a thing of the past.
What fees are associated with the material debit cards?
There are no card fees – BuildPay ACH cards operate like a cash transaction, with no debit or credit fees. Suppliers cover one-time set-up costs only. We don’t think it makes sense to pay extra just to get paid – and then have to add those costs back into the project cost.

All construction has one thing in common: it’s all supposed to get paid for. BuildPay is the only company that’s connected at every stage of the project lifecycle and is leveraging advantages from the promises that we make sure are kept.

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Troy, NY 12180

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Insurance Companies

Banks & Lenders

Project Owners

General Contractors


Material Providers

Material Manufacturers

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.