The four standard milestones in operational practice
Break Ground 20%, First Fix 30%, Practical Completion 20%, Sign Off 30%. Customer can move in at Practical Completion; the 12-month workmanship warranty starts at Sign Off.
Construction is split into four standard milestones, each tied to a clear stage of the build. The customer-side article How construction payments work is the main source on the customer's view; this article describes operational practice from the builder side.
The four milestones
- Break Ground (20%). Site set-up is complete and you've begun work. Demolition usually happens early.
- First Fix (30%). Structural, electrical, and plumbing first-fix is complete. Anything that will be hidden by plasterboard or finishes is in.
- Practical Completion (20%). All scope items installed; the space is usable and the customer can move in. Snags may still exist.
- Sign Off (30%). Snags are cleared and the work meets the agreed standard. The 12-month workmanship warranty starts here.
Custom milestones
The platform supports custom milestones beyond the standard four, where you and the customer agree. They let you change both the number of milestones on a project and the distribution of funds across them. Beams admin sets them up against the project.
One rule applies whatever shape the milestones take: the customer must always have one extra milestone of funding sitting in their Beams Account. So if you ask the customer to approve First Fix, they can only do that once the funds for Second Fix have been placed in their Beams Account. This keeps the build funded one milestone ahead at all times.
Use custom milestones for projects where the standard four don't fit, not as a default.
What evidence each one needs
- Break Ground: site set-up photos, demolition complete (where relevant).
- First Fix: structure complete, electrical and plumbing first fix in place, photos of work that will be hidden.
- Practical Completion: the space is usable, all fixtures installed, finishes complete, snags listed where any.
- Sign Off: snags cleared, certificates in place (electrical, gas, building control where applicable).
Why the percentages are weighted to the back end
The largest single payment (30%) sits at Sign Off. This is deliberate — it gives the customer leverage on snag clearance, and it gives you incentive to close out cleanly. Most projects close cleanly; the structure exists for the small number that don't.
Related articles
- Milestone evidence and approvals
- Submitting invoices
- The 12-month workmanship warranty