Construction Financial Glossary

Stored Materials Definition

Stored materials refer to construction supplies purchased but not yet installed. These materials may be kept on-site or in a warehouse.

Why Stored Materials Matter

    1. Helps secure materials before price increases.
    2. Ensures timely availability to prevent project delays.
    3. Can be included in Progress Billing for reimbursement.

Managing Stored Materials Effectively

    1. Implement inventory tracking to prevent loss or damage.
    2. Document material storage for Client approval and billing.
    3. Ensure proper security to avoid theft or deterioration.


Related Terms: Material Escalation, Supply Chain Management, Purchase Order (PO)

FAQs

Can stored materials be billed to the client?

A: Yes, if properly documented and included in contract terms.

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