Features

How It Works

Trades

Pricing

Guides

About

Features

How It Works

Trades

Pricing

Guides

About

Features

How It Works

Trades

Pricing

Guides

About

Glossary

Trade business terms, explained

Plain definitions of the pricing, quoting, invoicing and site terms UK trades meet every week. One term per page, with the calculator or tool that puts it to work.

All terms

Call out charge (call out fee)

A call out charge (call out fee) is a fixed amount a tradesperson adds to a job to cover the cost of attending site, charged whether or not any work is carried out once there.

Read the definition

Charge out rate

A charge out rate is the hourly amount a business bills a customer for an employee's time, as opposed to what that employee actually costs to employ.

Read the definition

Day rate

A day rate is the fixed amount a tradesperson charges for one day's work, whatever hours that day happens to take.

Read the definition

Delivery note

A delivery note is the document that travels with goods and lists what is in the load, so whoever receives it can check the delivery against the order before signing for it.

Read the definition

Tax & compliance

Domestic reverse charge

The domestic reverse charge is a UK VAT rule under which the customer, not the supplier, accounts for the VAT on most construction services supplied between VAT-registered businesses within the Construction Industry Scheme.

Read the definition

Contract & payment

Extension of time (EOT)

An extension of time (EOT) is a formal move of the contractual completion date where a delay is caused by something the contract does not hold the contractor responsible for.

Read the definition

Contract & payment

Final account in construction

A final account in construction is the agreed statement of the total sum due on a job once all the work is complete.

Read the definition

Contract & payment

Interim payment

An interim payment is a payment made for work completed so far on a running job, rather than a single invoice at the end.

Read the definition

Job costing

Job costing is tracking what a single job actually cost to deliver, in labour, materials, subcontractors and a share of overhead, so the real profit on that job can be compared with the price quoted.

Read the definition

Job sheet

A job sheet is the record of what was actually done on a job: the work carried out, the materials used, the hours worked, and the customer's signature confirming it.

Read the definition

Contract & payment

Job variation (variation in construction)

A job variation, or variation in construction, is a change to the agreed scope of work instructed after the contract was made — extra work, omitted work, or a change to how something is done.

Read the definition

PC sum (prime cost sum)

A PC sum (prime cost sum) is an allowance in a quote for supplying a specific item the customer has not chosen yet.

Read the definition

Contract & payment

Practical completion

Practical completion is the point at which the works are finished enough for the client to take possession and use the building, even though minor snags may still be outstanding.

Read the definition

Preliminaries in construction (prelims)

Preliminaries in construction (prelims) are the project-wide costs of running a job that cannot be attributed to any single item of work.

Read the definition

Proforma invoice

A proforma invoice is a request for payment issued before the goods or work are supplied.

Read the definition

Provisional sum

A provisional sum is an allowance included in a quote or contract for work that cannot be priced accurately when the quote is issued.

Read the definition

Purchase order (PO)

A purchase order (PO) is the document a buyer issues to a supplier to order goods or services at an agreed price.

Read the definition

Quote vs estimate

Quote vs estimate: a quote is a fixed price for defined work that the customer can hold you to once they accept it; an estimate is a considered best guess at the likely cost, given in good faith, that can change as the work becomes clearer.

Read the definition

Contract & payment

Retention in construction

Retention in construction is a percentage of each payment the customer holds back as security that the contractor will return and put right any defects.

Read the definition

Contract & payment

Retention of title

Retention of title is a contract clause under which the seller keeps legal ownership of goods until the buyer has paid for them, even though the goods have already been delivered.

Read the definition

Site diary

A site diary is a dated daily record of what happened on a job: who was on site, what was done, the weather, deliveries, instructions received and anything that caused a delay.

Read the definition

Snagging

Snagging is the process of inspecting completed work, listing the defects and unfinished items found, and putting them right before the job is signed off.

Read the definition

Work order

A work order is a written instruction to carry out a defined piece of work at an agreed price, authorised before the work starts.

Read the definition

More free resources

CalculatorsWork out the number ToolsProduce the document GuidesFollow the procedure

Stop guessing the numbers

FieldHive turns these terms into a working quote, job and invoice, without the spreadsheet.

Get FieldHive free

Management software built by trade professionals, for trade professionals.

QUICK LINKS

Compare FieldHive

WHO WE SERVE

Plumbers

HVAC

Builders

Maintenance

Landscaping

© 2025 Fieldhive Ltd. All rights reserved.

Privacy Policy

Terms of Service

Cookie Policy

Company Registration No: 16741717

Management software built by trade professionals, for trade professionals.

QUICK LINKS

Compare FieldHive

WHO WE SERVE

Plumbers

HVAC

Builders

Maintenance

Landscaping

© 2025 Fieldhive Ltd. All rights reserved.

Privacy Policy

Terms of Service

Cookie Policy

Company Registration No: 16741717

Management software built by trade professionals, for trade professionals.

QUICK LINKS

Compare FieldHive

WHO WE SERVE

Plumbers

HVAC

Builders

Maintenance

Landscaping

© 2025 Fieldhive Ltd. All rights reserved.

Privacy Policy

Terms of Service

Cookie Policy

Company Registration No: 16741717

Management software built by trade professionals, for trade professionals.

QUICK LINKS

Compare FieldHive

WHO WE SERVE

Plumbers

HVAC

Builders

Maintenance

Landscaping

Company Registration No: 16741717

© 2025 Fieldhive Ltd. All rights reserved.

Privacy Policy

Terms of Service

Cookie Policy

Management software built by trade professionals, for trade professionals.

WHO WE SERVE

Plumbers

HVAC

Builders

Maintenance

Landscaping

QUICK LINKS

Compare FieldHive

© 2025 Fieldhive Ltd. All rights reserved.

Terms of Service

Company Registration No: 16741717