Construction Cash Flow Management: The Art of Not Running Out of Money Mid-Project

Construction has one of the most unforgiving cash flow patterns of any industry. Work is performed, billed, approved, and paid across cycles that routinely span 60-90 days — while materials, labor, and subs all need to be paid on much shorter timelines. Here is how construction cash flow actually works, the specific levers that manage it, and why a profitable company can still run out of cash.