Progress billing, or construction progress billing, is a process used by contractors and subcontractors to manage the invoice payments for their construction projects. It divides payments into installments based on certain milestones in the project’s timeline such as completion of work or delivery of materials. This helps to keep both the contractor and the customer informed throughout the construction process, making it easier for both parties to track progress and payment throughout the project. Progress billing also serves to ensure that suppliers are paid promptly as this may be a condition of their contract with the contractor. By tracking and managing every step of the construction project, progress billing provides an added layer of assurance that the job will be completed on time and within budget.