TY  - JOUR
AB  - Purpose This paper aims to evaluate Nigerian contractors’ perceptions regarding the effects of positive and negative cash flow during construction projects, with a view to establishing effective strategies for cash flow management.Design/methodology/approach A desktop-based literature review is used to develop a cross-sectional questionnaire survey which uses Likert items to elicit responses from construction professionals on: the reasons for cash flow problems; the impacts of negative and positive cash flow; and the potential solutions for improving cash flow on construction projects.Findings The study finds that delay in payments, difficulty in obtaining financial aid and inadequate budgetary control are the causes of cash flow problems during construction projects. Cumulatively, these issues result in project delays, reduced profit margins and in the worst scenarios, abandoned projects.Originality/value There has been limited research into the effects of positive and negative cash flows on construction projects in Nigeria and indeed, the wider geographical location of West Africa. This study addresses this observed dearth and consequently advances methods and solutions to deal with the problem of poor cash flow management in the Nigerian construction industry.
VL  - 18
IS  - 2
SN  - 1726-0531
DO  - 10.1108/JEDT-04-2019-0099
UR  - https://doi.org/10.1108/JEDT-04-2019-0099
AU  - Omopariola Emmanuel Dele
AU  - Windapo Abimbola
AU  - Edwards David John
AU  - Thwala Wellington Didibhuku
PY  - 2019
Y1  - 2019/01/01
TI  - Contractors’ perceptions of the effects of cash flow on construction projects
T2  - Journal of Engineering, Design and Technology
PB  - Emerald Publishing Limited
SP  - 308
EP  - 325
Y2  - 2024/04/19
ER  -