Accounts Payable

Construction accounts payable (AP) definition. Learn how to manage payments to suppliers and subcontractors while maintaining project cash flow.

Calculation Formula

Current AP = Σ (Unpaid Invoices from Vendors/Subs)

Real Contractor Example

Your lumber yard sends an invoice for $5,000 and your plumber sends one for $3,000. Until you pay them, these amounts form your AP.

Put This Into Practice

Knowing the definition is step one. RemodelFin tracks this in real time on every job — no spreadsheets.