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Why cash flow is crucial for self builders

By taking sensible steps to ensure you stay in control of cash flow, you can enjoy a positive experience throughout your build, says Mike Hardwick
COLIN POOLE
Contingencies often get their first dent during the groundworks stages, as the Scrivenses found on their project. A high water table meant they had to switch to engineered piled foundations for their 164m2 cottage – adding another £10,000 to their construction costs. But they’ve ended up with the dream home they wanted

Cash is king is a phrase you hear a lot in business. Without the liquidity offered by cash, everything grinds to a halt: bills don’t get paid; suppliers stop supplying; and your project stalls.

It’s no different with self building, where keeping a positive cash flow throughout the process is critical. If you run out of funds and fail to pay the bills, problems will quickly stack up and your project could start to become a Grand Designs-style burden. It doesn’t have to be like that, though. Hopefully these tips will help you keep things on track and make your scheme a success.

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About Build It

The June edition of Build It magazine is packed full of inspiration and advice for your self build, renovation or extension project - including: • An amazing oak frame self build (page 20) • Total makeover of a 1960s house (page 39) • How to self build on a budget (page 64) • Can solar hot water panels save you money? (page 71) • Design details: exposed beams (page 74) • Guide to designing the perfect barn conversion (page 90) • Assessing a building plot's potential (page 100) … and more!