Billd Teams Up with American Express to Help Suppliers Extend Flexible Finance Terms Across U.S. Construction Industry
A written agreement between the owner and the contractor that pays the contractor based on actual labor, equipment, materials, and service costs plus a fixed add-on amount to cover the contractor’s overhead and profit.
A Time and Materials (T&M) contract is an agreement between a contractor and client where the contractor is compensated based on the actual cost of labor, materials, and equipment used on the project, plus an agreed-upon fee for overhead and profit. This type of contract is beneficial for projects with uncertain scopes or those requiring flexibility, as it allows for adjustments based on changing project conditions and requirements.
Might be used for a home renovation project where the homeowner pays the contractor based on the actual hours worked and materials used.
