A revolutionary new tool to protect consumers and the construction industry, Pay Trade celebrates its official launch of its escrow and construction contract administration tool in Q1 2022, providing free registration for all property owners, contractors, and architects. Pay Trade has launched with an aim of Bridging The Trust Gap In Construction.
“A revolutionary new tool to protect consumers and the construction industry”
Construction projects are high value items often involving unfamiliar parties. We wouldn’t second think about using a solicitor when making a property purchase, so why isn’t the use of a third party the norm for what is likely to be the second if not biggest purchase a person will make in their lifetime. The use of escrow globally in a variety of industries has been increasing with the development of new technology and services to make the process quicker, easier and cost effective. Escrow technology is disrupting a variety of industries payment processes to safeguard consumers and providers. It is time for the construction industries’ financial revolution.
So often financial risk is ignored by the industry with standard industry contracts even suggesting that proof of affordability clauses to be used sparingly in a domestic setting. The standardisation of the use of escrow alongside construction contracts for even the most minor construction project will better protection for all. Additionally, the segregation, off balance sheet, in escrow, of construction retention payments will put the impact of disasters such as Carillion’s administration behind us. Even the biggest entities can fail, and parties should be reminded of this and seek financial protection.
- No more cowboy builders leaving consumers out of pocket.
- No more bad payers or insolvent entities leaving contractors out of pocket for work professionally done.
- No more financial uncertainty relying solely on good faith and hope.
- Escrow for all the construction industry.
To help raise awareness, Pay Trade are beginning with education by releasing of a series of how to guides and CPD sessions on escrow payment in construction. We are also seeking to engage with industry bodies, trade unions and the media. As part of its launch, access to the system will remain free for the foreseeable future.
Phil Taylor, CEO of Pay Trade says, “I am thrilled that a project so close to my heart has now become available to make such a positive impact on the construction industry. Upon returning to the construction industry after a 10-year career stint in investment banking I was shocked to see how unprotected parties are when engaging in construction work, how little trust there is for many leading to so much poor mental wellbeing in the industry. The introduction of the likes and not limited to PayPal, Alipay, Amazon Pay to online merchant checkout has revolutionised protection for online shopping, and we expect Pay Trade will do similar for the construction industry. Less risk means greater trust leading to better mental wellbeing and importantly reduced cost for consumers and the wider industry. Consumers will be able to openly ask for risk adjusted discounts in return for historically unprecedented levels of financially security”