What is Cost Plus Billing?

Cost Plus Billing is a method commonly used in the construction industry that allows for more transparency and flexibility in billing. In this system, the client pays the contractor for the actual costs of the project, plus an additional fee for the contractor’s services. This fee is usually a percentage of the total project cost, agreed upon in advance. This method is often used for projects where the scope of work is not clearly defined or may change throughout the construction process.One of the main advantages of Cost Plus Billing is that it provides more accountability and transparency in the billing process. Clients can see exactly where their money is being spent, as they are billed for actual costs incurred rather than an estimated amount. This can help build trust between the client and contractor, as the