Why a NTO
Sending an NTO
“Notice to Owner”
is an efficient way to ensure timely payment on construction projects.
This is what you need to know about the rules and requirements to send an NTO in Florida, “Notice to Owner”.
Private projects
As a subcontractor send an NTO:
- 45 days after the first start of work or supply of materials.
- Before final payment to your contracting party.
Public projects
Any party not retained by the General Contractor or GC must submit an NTO to the General Contractor or GC to protect their right to file a Bond claim.
NTO is required before the date of:
- 45 days after first providing labor or materials.
- 45 days when work begins in the manufacture of special materials.
- Before the client receives the final payment of his contract.
How does it work?
In addition to the owner of the construction project, an NTO may need to be sent to the lender, the general contractor and other parties at the top of the payment chain, this is handled by Avanza Services.
Many states, especially Florida, require subcontractors and vendors to submit an NTO to preserve their right to file a Lien if payment is not received.
What are the benefits of sending an NTO - Notice to Owner
Getting paid in the construction industry is difficult, and NTOs are the first step to getting paid in the construction industry.
Preliminary notices help ensure that the property owner and general contractor are aware of all subcontractors and vendors on the job. If they know that a subcontractor or vendor is on the job through an NTO, there is a higher chance that the subcontractor or vendor will get paid. Since these NTOs are useful and promote greater project transparency, they have the effect of prioritizing a contractor’s or supplier’s invoice over others who have not submitted the NTO, and therefore cause companies to pay more frequently and more timely.
When communication breaks down on a project, it can cause delays on the project, pay disputes and costly litigation. Ultimately, an NTO is an effective communication tool that benefits everyone on a project.
So when you send an NTO
- Speed up your payments.
- You are Recognized.
- And you create active Communication.
Contact Avanza Services to start sending the NTO preliminary notices on all the projects you are working on.
Speed up your payments, be more visible.
AVANZA SERVICES – CONTACT@AVANZASERVICES.COM – PH (386) 450 1203
FAQs
- What is a Notice to Owner?
A Notice to Owner is a preliminary notice that must be sent by certified mail from the 40th day from first furnishing labor and/or materials to the project. A notice to the owner needs to be received by the 45th from first furnishing labor and/or material. The only exception is for specially fabricated materials, materials that can only be used for a specific project. If you are not contracted directly with the owner of the project and wish to maintain your lien rights, you must send a Notice to the owner.
- Can a subcontractor file a lien without a Notice to Owner?
If you are not contracted directly with the owner of the property, you are required to send a Notice to Owner (NTO) if you wish to lien a property.
- What information do I need to fill out a NTO?
The following information must be included in the NTO Document:
- Property owner name and address.
- Owner designee name and address (if applicable)
- General contractor name and address.
- General description of work or materials and supplies provided for the job.
- Property description.
- Hiring party’s name and address.
Do you need help to filling out this form?
