Ohio Construction Billing Process FAQs
Common questions about Ohio Construction Billing
At Flashtract, we're constantly working alongside construction professionals from all walks of life. This means that on a daily basis, we're fielding a ton of questions about construction building around the nation. Recently, we have run into several repeat questions when it comes to construction billing in Ohio.Some questions may seem very basic to those who have been in the business a long time. But when it comes to construction billing, we're frequently helping commercial construction businesses in various points of their journey.
To help clear up the confusion around Ohio construction billing, we've put together a FAQ sheet.
Basic / Introductory Topics
What types of commercial contractors must have a license in Ohio?
- Heating, ventilating, and air conditioning (HVAC) contractors
- Refrigeration contractors
- Electrical contractors
- Plumbing and hydronics contractors
What is the “industry standard” for documents and forms used on private construction projects in Ohio?
AIA forms are typically used if the contractor has the ability to pay the licensing costs.
Are AIA Documents© Free?
No, there is an associated cost with official AIA contract documents. You can purchase a single document or unlimited one-year access. Take a look at the pricing.
What are "AIA-style Documents"?
These are standardized documents that follow the style of official AIA© documents. However, they are not identical to the ones provided by AIAContracts.org.
Liens & Lien Waivers in Ohio Construction Billing
Are Unconditional Lien Waivers legal in Ohio?
Yes, they are legal. Unconditional Lien Waivers should only be signed if payment has been received, as you are unconditionally signing away rights.
Who holds Lien Rights in Ohio?
Ohio law recently changed, and Lien Rights are now also offered to Designers. They are also given to General Contractors, Subcontractors of any tier, suppliers, laborers and managers. It is important to consult legal counsel if you are considering having a lien.
How are Lien Waivers typically categorized?
Lien Waivers are usually categorized as a progress payment waiver or a final payment waiver. Progress payment waivers usually specify an amount paid, in which case the signer is waiving the lien rights of that specific amount. Final payment waivers waive all of the lien rights for that project.
Does Ohio have, or require a statutory Lien Waiver Form?
Paying & Getting Paid
How is retainage governed in Ohio?
For subcontractors and material suppliers, Ohio law does not state the amount of retainage that is allowed to be withheld from progress payments. This amount is determined by the terms written in the contract.
As a subcontractor, how quickly can I expect to be paid after completing work?
The Ohio Prompt Payment laws state that subcontractors must be paid within 10 days of when the prime contractor receives payment from the owner.
How can you ensure you pay your subcontractors on time?
Construction billing software like Flashtract makes these processes much faster than through excel sheets or emails. It allows you to automatically generate documents in just a few clicks. Additionally, you can receive pay applications from subcontractors and quickly see who has and has not been marked as paid from a dashboard.
Do you still need help with your construction billing?
No matter what part of the country you are in, Flashtract is here to help make your billing woes a little easier. We can help make your process more efficient so that everyone gets paid on time. Let us show you how you can generate custom documents in just a few clicks!Make Construction Billing Easy >
Wait! Still have questions?
Have any other questions you don't see answered in this FAQ? Feel free to send them in and we'd be happy to add to our list or answer directly!
“AIA”, “The American Institute of Architects®” and the AIA emblem are registered trademarks owned by the American Institute of Architects. They are not affiliated with Flashtract.