Pro Dealers Versus Big Box Retailers: Payment Terms

Earlier this year, we shared how builders and contractors rank the payment terms they receive from their dealers. But how do the payment terms offered by pro dealers compare to big box retailers, such as The Home Depot and Lowe’s?

We asked builders and contractors who purchase from both a lumberyard or traditional one-step distributor and a big box retailer to compare the payment terms offered. Here are the findings:

Builders and contractors remain largely neutral when comparing the payment terms offered by lumberyards/one-steppers to those available at big box retailers. Further, the responses of those outside the neutral majority reflect an evenly split opinion on whether terms are better or worse than big box. In sum, payment terms offered by the lumberyard or traditional one-step channels are at parity to those offered by big box.