How do weekly labor draws work for rehab projects?

We quote your full project price upfront. Instead of paying 30-50% as a deposit, you pay weekly as labor progresses. Each payment is credited toward your project total. Draws start at $4k/week for smaller projects and scale with project size. Materials are separate: we provide detailed lists and you purchase directly, so you control the spend.

Is SLH a project manager or contractor?

We're the licensed general contractor. Our crews do the work: demo, framing, plumbing, electrical, finishes, everything. We're not a middleman coordinating other contractors.

Why do investors purchase materials separately?

Transparency. Traditional contractors mark up materials or bundle them so you can't see what you're paying. We provide detailed material lists with quantities and timing. You buy directly from suppliers at cost. No hidden markup, full visibility.

What payment methods do you accept for rehab projects?

The $150 scope fee can be paid by credit card. All other payments (weekly labor draws, final balances) are wire transfer, check, or cash only. No credit cards for project payments.

How do I qualify for Portfolio Partner pricing?

You qualify with either 3 or more concurrent projects OR a commitment to 5+ projects per year. This gives you 10% off weekly labor draw rates plus priority scheduling and included pre-acquisition estimates.

Do you handle permits for rehab projects?

Yes, as an add-on service. We manage the entire permit process including applications, coordinating inspections, and maintaining documentation. Permit fees are passed through at cost.

How much is a typical weekly draw?

Between $3,500 and $5,000 per week for a standard rehab crew. Materials are purchased separately. The total project cost is the same as any other bid, just paid in weekly increments tied to completed work.

What if the contractor doesn't complete the planned work?

The draw gets held until corrections are made. If work stops entirely, payment stops entirely. Your maximum exposure at any point is one week of labor.

Do weekly draws cost more than traditional contractor payment?

No. The total project cost is the same. The difference is how you pay it - weekly instead of in a lump deposit plus milestones. Same total, dramatically lower risk.

What is included in the $150 scope visit?

Full property walkthrough, detailed scope of work, line-item cost breakdown, timeline, and a weekly draw schedule customized to your project.

What Is a Weekly Labor Draw? | Payment Model for Investors

A weekly labor draw is exactly what it sounds like. You pay your contractor a fixed amount each week for the labor they completed that week. No big deposit. No vague milestones. Just weekly payment for weekly work.

It's the same concept commercial construction has used for decades. We just brought it to residential investor rehabs where it was badly needed.

How It Works Step by Step

Before work starts: You and the contractor agree on a detailed scope of work with a total project price. That total gets broken into a weekly draw schedule based on the planned timeline.

Each week: The crew works according to the weekly plan. They document progress with photos and notes.

Every Friday: The contractor submits a draw request showing what was completed. You review it against the scope. If the work matches, you release the draw. If it doesn't, you hold the draw until corrections are made.

That's it. No deposit. No milestone guessing games. Pay for what got done this week.

The Typical Numbers

On a standard investor rehab:

Weekly draw: $3,500-$5,000 (covers crew labor for one week)
Materials: Purchased separately by the investor at cost
Total project: Same as any other bid, just paid differently
Timeline: Same 6-12 weeks depending on scope

The total cost doesn't change. What changes is your risk profile. Instead of $15,000 at risk from a deposit, your max exposure at any point is one week of labor.

Why Contractors Should Like This Too

Good contractors benefit from weekly draws:

Predictable weekly income. No waiting 4-6 weeks between milestone payments.
Cash flow stability. Weekly checks are easier to manage than lumpy milestone payments.
Less client friction. Small weekly payments are easier for clients to approve than big milestone checks.
Better client relationships. Weekly accountability builds trust faster than quarterly check-ins.

The contractors who resist weekly draws are usually the ones who need your deposit to fund their operations. That should tell you something.

The "If Work Stops, Payment Stops" Clause

This is the clause that makes the whole model work. If the crew doesn't show up Monday, you don't pay Friday. If the contractor disappears for two weeks, you've lost nothing because you stopped paying immediately.

Compare that to the deposit model where a contractor can ghost you three weeks into a project and you've already lost $15,000.

Weekly Draws vs. Everything Else

| Payment Model | Your Risk | Contractor Accountability | When You Detect Problems | |---|---|---|---| | 30% Deposit | $15,000+ | Low after deposit | Weeks later | | Milestone | $10,000-$15,000 per milestone | Moderate | Between milestones | | Weekly Draw | $3,500-$5,000 | High, every week | Within 5 business days |

How Seller's Little Helpers Uses Weekly Draws

We built our entire business around the weekly draw model:

$150 scope visit produces a detailed scope of work
No deposit required to start
$4,000/week minimum draw for crew labor
Materials purchased separately at your cost
Weekly photo documentation and draw requests every Friday
"If work stops, payment stops" in every contract

This isn't a payment option. It's the only way we work. Because it's the only model that consistently protects investors.

Book a $150 scope visit at sellerslittlehelpers.com - we'll show you what a weekly draw schedule looks like for your specific project. Call (708) 536-6700 or email info@sellerslittlehelpers.com.