New Self-Billing Agreements
Posted: Thu, 11 Jul 2019 17:30
Barratt aims to pay all its contractors in a timely and accurate fashion. To support this, we operate an automated process called "Self-Billing" that reduces paperwork, makes errors less likely and speeds up payments. This system will start the payment process for measured works automatically upon the Quantity Surveyor entering payment tick stages, following completion of those works.
We are now expanding this process to cover all of our contractors.
- You get paid quicker. The time currently taken raising an invoice, submitting the invoice and our processing the invoice is significantly reduced. This is especially relevant if you are unaware of the amount chargeable, such as construction work that must be valued by a surveyor. The valuation progress tick is entered into the system by the surveyor electronically.
- You do not need to send us invoices, as we are generating them for you. This will save you time and paperwork.
- Fewer disputes due to greater accuracy. Payments are enter once, based upon the information provided by you at tender stage. We pay against what you tender.
- Improved cash-flow. Where works are VAT-applicable, you are only liable for that VAT at the payment stage rather than earlier when raising the invoice.
The documentation required from you is called a "Self-Billing Agreement". If you work across multiple Barratt divisions, you will receive a number of requests to sign a Self-Billing Agreement. Please complete, sign and return each of them to the relevant division as soon as possible. Existing Self-Billing Agreements also need to be renewed, as the system will now encompass Variations too.
The first Self-Billing Agreement letters will be sent from our Division offices that use the new COINS Bill of Quantities (BoQ) system, these being; Barratt West London, Barratt Bristol, David Wilson Homes South West, Barratt and David Wilson Homes Mercia, Barratt and David Wilson Homes Yorkshire East.
In the future we are looking at sharing the self-billing agreement information across our Divisional offices, we believe that this will reduce the paper-work being completed and processed. This will be implemented as part of our development and deployment of the new COINS software. We will be writing to our contractors at the appropriate time to advise timescales for completion and return of the new Self-Billing Agreement.