Job account
Also called project account
Reviewed by Dasha ShakovVP Marketing, Proton
Updated
What is job account?
A job account is a separate account a distributor opens for one construction project, so material for that job is tracked, billed and secured on its own. It sits under the contractor’s main account and records the project’s address, owner, general contractor and, where needed, the bonding company.
How it works
Keeping each project separate lets the credit department protect its right to be paid on that job, including sending any preliminary notice the state requires and, if needed, filing a mechanic’s lien or a claim on the project’s payment bond.
Job account example
An electrical contractor wins a school renovation, and the distributor opens a job account with the school district as owner. Everything shipped to the site is billed there, separately from the contractor’s other work.
Related terms
- Mechanic’s lienA mechanic’s lien is a legal claim against a property that a contractor or supplier can file when it isn’t paid for work or materials used to improve it.
- Bill-to and ship-toBill-to and ship-to are the two addresses on a customer order: the bill-to is where the invoice goes, and the ship-to is where the goods are delivered.
- Credit limitA credit limit is the maximum unpaid balance a distributor allows a customer to carry on its account.
- Specification sellingSpecification selling is the work of getting a product written into a project’s plans or specifications so that contractors bidding the job must quote it.
