NEW ORLEANS — Levelset announced the launch of Subcontractor Payment Profiles, giving general contractors and material suppliers the opportunity to read performance reviews, obtain project histories and get payment rankings on more than 23,000 subcontractors throughout the U.S. for the first time.
"Working with new subcontractors has historically been a coin toss. General contractors and material suppliers have traditionally resorted to word of mouth to find the best subs and that doesn't always end well," said Scott Wolfe, Jr., CEO of Levelset. "With this new feature, we're taking the guesswork
and stress out of the equation, increasing industry transparency and arming contractors and suppliers with the tools to assess risk and protect cash flow."
In addition to performance reviews, project histories and payment rankings, Subcontractor Payment Profiles include contact details, license and bond information, payment data from recent construction jobs, preferred payment paperwork (e.g. Waivers, PayApps, Notices) and a portal to request
documents or payment from the subcontractor. The data and content used to populate the profiles comes from Levelset's expansive database of millions of construction projects, vetted reviews from construction companies that have utilized the respective contractor's services and industry data.
Thea Dudley, a 30-year construction industry insider and credit expert known as the "Credit Overlord," said the profiles will allow roofing contractors' or subcontractors' customers the ability to have insight to who they are working with. In turn, roofing companies can send their customers to their profiles to gain confidence that they are dealing with a reputable company.
"Face it, just like any other reporting, whether it is from commercial credit reports, from credit reporting agencies like D&B, Cortera, Credit Safe, or Better Business Bureau, it is better for know what is out there and address it," Dudley said. "If you don’t pay your bills on time, that will show up. It shows up on credit reports and is out there for whoever to see. If you see unflattering things about your company, it is better to know about it and work to improve it then pretend it isn’t there."
Subcontractor Payment Profiles join Levelset's more than 37,000 General Contractor Payment Profiles, together providing additional transparency and insight into the construction industry. Both platforms provide businesses with not only the ability to assess risk, but to showcase their own business' track record and reputation, ultimately elevating them up to the top of the search results page.
"The Payment Profile is a game changer for sure," Dudley said. "Credit report costs are out of control and many companies, especially small ones, simply do not have the budget. This allows for great information that is accessible and within everyone’s budget."
To build a business profile, contractors need to claim their Payment Profile and share it with suppliers and general contractors they've worked with who can add information about their work with the business. Reviews are anonymous to the public but verified through an internal process to ensure validity, and all ratings and reviews are monitored and must meet community guidelines. All profile owners are also encouraged to respond to any negative reviews.
All of the data and information is free and available to the public. In addition to being a valuable asset for general contractors, credit managers can reference Subcontractor Payment Profiles to help them evaluate subcontractors' creditworthiness and mitigate risk.
"Being able to do additional research on a new client before we open a line of credit and see if they pay their bills has been a helpful improvement to our credit approval process," said Rachel Sales, senior director of financial services at SRS Distribution in McKinney, Texas. "Subcontractor Payment
Profiles will further allow us to reduce our risk in extending credit, be proactive in managing customers and grow our business with confidence."
For more information, visit www.levelset.com.