When taking on a material-heavy electrical job involving long-lead items like switchgear, what is the primary purpose of requiring a separate materials deposit from the customer?

When collecting a separate materials deposit for a material-heavy electrical job, the deposit amount should be tied to the purchase-order amount and the supplier's payment terms.

Match each deposit strategy for material-heavy electrical jobs with its primary business purpose.

You are managing a large electrical service upgrade that requires custom switchgear with a 10-week lead time. The supplier demands a significant upfront payment to place the order. To protect your working capital and avoid financing the customer's equipment, arrange your actions in the correct sequence.

When drafting a proposal for a commercial switchgear installation, you note the supplier requires a $30,000 upfront payment for equipment with a 12-week lead time. If you rely solely on your standard 10% project mobilization fee, you will create a severe cash flow deficit. To systematically shift the procurement risk to the customer and protect your cash reserves, your contract must require a ____ that strictly matches the supplier's payment terms.

A contractor wins a $140,000 commercial project to install custom switchgear. The supplier requires a $35,000 deposit at order placement and the remaining $35,000 before shipping, with an 8-week lead time. The contractor's standard contract calls for a 10% mobilization deposit on the total project price. Which of the following deposit strategies should the contractor judge as the most effective at protecting working capital and appropriately shifting procurement risk?