Fit Out London: You Build, We Connect’s Post

It's awful to hear that ISG has gone into administration. As well as the terrible impact on the company itself and its employees, this kind of situation also impacts the construction contractors involved in projects. As The Sunday Times says, 'ISG’s collapse sent shockwaves through the construction industry.' When construction contractors become insolvent, there's often a significant financial knock-on effect on their immediate subcontractors and suppliers. Many of these entities will find themselves left short of payments owed by the insolvent company. This insolvency can then impact those further down the supply chain, such as sub-sub-contractors who are employed by a sub contractor. 📞 If you're concerned about the clauses in your contracts or outstanding payments in light of construction insolvencies, please give us a call on 01733 233737 to see how we can assist. 📸 Photo credit: The Sunday Times #ConstructionUK #ConstructionLaw #ISG

🌟 Are government contractors merely middlemen, or do they add real value to the process? 🤔 Let's dive into this often-debated topic and explore the nuances of government contracting as a middleman! 👀 --- 💡 It's easy to view government contractors as mere intermediaries, adding layers of complexity to an already intricate system. But are they just that—middlemen—or is there more to the story? Let's break it down: - **Facilitators of Efficiency:** By leveraging their expertise and networks, contractors can streamline processes and bring specialized skills to the table, enhancing the overall efficiency of government projects. - **Risk Mitigators:** Acting as a buffer between the government and suppliers, contractors absorb and manage risks, ensuring smoother operations and mitigating potential setbacks. - **Innovators and Problem Solvers:** Contractors often bring innovation and fresh perspectives to the table, driving creativity and finding solutions to complex challenges that the government may not have the bandwidth to tackle alone. --- 🌟 So, are government contractors just middlemen? Perhaps not. They can be catalysts for progress, enablers of efficiency, and partners in innovation. It's all about perspective and recognizing the value they bring to the table. 💪 Let's keep the conversation going! --- #GovernmentContracting #MiddleManDebate #ValueAddition #EfficiencyInAction #InnovationPartner #ContractorPerspective

Another month passes, and we’ve just witnessed another seismic event in the construction world with ISG, a major Main Contractor, going into administration. The fallout is already being felt, especially by subcontractors. Back in June, I was writing about ARJ and Geoffrey Osborne filing for administration, and now here we are again with another major player going under. Subcontractors are being hit hardest, with unpaid bills and broken promises mounting up. One subcontractor said their business might not survive this, and unfortunately, they’re likely not alone. It’s a situation we’ve seen too many times before, and it raises an important question: How do we protect the supply chain? Let’s be real: technology alone isn’t a panacea, and it wouldn’t necessarily have saved ISG, ARJ, or Osborne. But if we zoom out, it's clear that things need to change—and they need to change fast. The way Main Contractors engage with their supply chain must evolve, focusing on de-risking procurement and fostering trust. At C-Link, we’re passionate about helping Main Contractors develop a de-risked procurement process that protects both them and their supply chain. By using better data, better process and balanced contracts, Main Contractors can safeguard their projects, reduce risk, and better serve the supply chain. How are you protecting your supply chain? I'd love to hear your thoughts on this latest collapse and what steps you’re taking to safeguard your own business. Paul Heming #ISG

The Office of Federal Contractor Compliance Programs recently published its Corporate Scheduling Announcement List online, identifying contractors receiving an audit scheduling letter in the coming year. Read the latest Polsinelli at Work blog from Erin Schilling and Shivani Patel Bailey to get more details on the list and how to take advantage of this valuable preparation time: https://lnkd.in/g4UsCgds. #ofccp #CSAL #governmentcontracts #polsinelliatwork

We were sorry to hear the news about ISG entering administration This is a difficult time for everyone involved, and our thoughts are with the ISG employees, subcontractors, and clients affected by this news. What this means for surety providers? ISG's administration will undoubtedly have a ripple effect, and some surety providers may be impacted. However, it's important to remember that the surety bond market is diverse, and there are a number of reputable providers still able to offer surety bonds. We can still help you source Surety Bonds! Surety Bonds & Guarantees Ltd, we have a strong network of surety providers and are confident that we can still help you source the bonds you need. We understand that this is a time of uncertainty, and we are committed to working closely with our clients to find solutions. Here's what we can do to help: We can help you assess your specific needs and find a surety provider that is the right fit for you. We can guide you through the surety bond application process & we can help you obtain competitive rates. If you are concerned about how ISG's administration may impact your ability to obtain a surety bond, please don't hesitate to contact us. We are here to help. https://lnkd.in/dYbuHiQi #administration #isg #surety #suretybonds

Ever faced challenges with compensation events threatening your project’s profitability and timelines? Learn how implementing supplemental agreements and a Conflict Avoidance Process can transform project outcomes. In this case study, contractors and clients collaborated to resolve disputes early. The result? The project not only stayed on track but was completed 10 days ahead of schedule with significant cost savings. Check out this summary of the case study: https://lnkd.in/e-ccU6tR #GTSWCA #ConflictAvoidanceProcess #ConflictResolution #Construction

The True Cost of Construction Industry Failures: A Wake-Up Call This morning news about ISG's administration has once again highlighted a critical issue in our industry: the unfair treatment of the supply chain. As an owner of a small family-owned business, I feel compelled to speak out. Small contractors and subcontractors are not here to bankroll big businesses. We're skilled professionals, dedicated to delivering quality work. Yet, time and again, we bear the brunt when larger firms face financial difficulties. The ripple effects of ISG's situation will be far-reaching. How many small contractors will face closure due to unpaid invoices? How many families will struggle because of delayed or lost payments? While we sympathise with ISG's staff facing an uncertain future, we must also recognise the silent victims – the countless small businesses and their employees who may not recover from this blow. It's time for a serious conversation about: Fair payment practices Protection for subcontractors Transparency in financial health reporting We need systemic change to ensure the construction industry's foundation – its supply chain – is treated with the respect and fairness it deserves. What are your thoughts? How can we work together to create a more equitable industry for all? #ConstructionIndustry #SupplyChain #FairPayment #SmallBusines BITA Noel ByrneWayne BrigdenPaul Whitnell

Where to start… ISG… Another Tier 1 bites the dust…⛔️ The big question for me is… What’s going to change…❓ More than likely, nothing…🤠 The shit always rolls down hill…💩 Along with the ISG staff, it’s the suppliers I feel genuinely sad for (materials, sub-contractors, agencies etc)…😢 Not all would have been directly engaged in business with ISG…🤯 But all will now carry the can for this inability to run a profitable and cash healthy business…🥫 In my opinion (a very basic outlook but I don’t care)…🥸 1. With great power comes great responsibility. End-clients / government… can we start financial audits prior to contract award for Main Contractors? I’m certain contractors with healthy finances will not mind being rated on their ability to stay liquid.📖 2. Bank of England…Can we get the base interest down pronto because it’s crippling businesses up and down the country. 📉 3. Can the contracting chain model change so that there is either more self-delivery from tier 1 contractors or all project finance be paid into a central bank account and allocated by an independant body on completion of works that’s signed off by both main contractor and independant body? Surely the cost of paying a middle man would be far smaller to the industry than the cost of these insolvencies of market leaders. 💷 I truly hope that every employee, subbie, agency etc can survive another huge blow for the industry, but we all know that won’t be the case. ❌ I’m sure there will many of us thinking that the rewards may not be worth the aggro if this industry continues to bury its head in the sand!! 🏖️ #isg #administration #insolvency #constructionindustry #constructionnews

A helpful article from Paul Grundy and Rowena Clark in relation to the ISG Administrations. The tough times continue for the Construction Sector!

Learn more about the OFCCP’s audit list and what contractors can expect from @Erin Schilling and I in our latest @Polsinelli at Work blog: https://lnkd.in/gT4uzWEd. #contractors #complianceprograms #compliance