It's no secret that technology has made running a successful building business easier, but when it comes to the critical and complex task of complying with regulations, not all technology is created equal.

Designed with that in mind, Witzer is an innovative digital platform that creates a streamlined, transparent and legally compliant payment process for all involved, no matter where you are.

Around the nation, each state has specific regulations governing the maximum deposit builders can request before commencing work. Failing to adhere to these laws can result in financial and legal complications, so Witzer helps builders navigate these complexities by ensuring all payment processes align with local requirements.

Here's a snapshot of deposit regulations nationwide to help builders understand your obligations.

• Queensland: Any project over $3300 requires a written contract, and the builder must secure home warranty insurance. The maximum deposit is capped at 10 per cent for projects up to $20,000 and 5 per cent for anything higher. 
  Source: QBCC.
• New South Wales: Work less than $20,000 must be done under a 'small jobs' contract. A full home-building contract is required for work over this amount, with deposits limited to 10 per cent. 
  Source: NSW Fair Trading.
• Victoria: Deposits are capped at 10 per cent for contracts under $20,000 and 5 per cent for anything higher. 
  Source: Consumer Affairs Victoria.
• Tasmania: Deposits vary based on contract size, with 10 per cent allowed for projects up to $50,000 and 5 per cent for larger contracts. For contracts of any price, where the value of the work to be performed offsite is more than half the total price, the deposit is 20 per cent.
  Source: CBOS – Consumer, Building and Occupational Services.
• South Australia: A maximum deposit of $1000 is allowed for contracts up to $20,000, while 5 per cent applies for higher amounts. 
  Source: Government of South Australia, Consumer and Business Services.
• Western Australia: Contracts between $7500 and $500,000 are limited to a 6.5 per cent deposit. Builders may include payment for plan preparation as part of the deposit for a contract for the home-building work.
  Source: Department of Energy, Mines, Industry Regulations and Safety – Building and energy consumer information.
• Northern Territory: The maximum deposit amount permitted is 5 per cent. 
  Source: NT.GOV.AU -Building and renovating a home.

So how does it work? Witzer's secure digital wallet functions like an escrow system, safeguarding project funds and releasing payments only when agreed-upon milestones are met. This eliminates non-payment risks and ensures tradies are paid on time while clients gain peace of mind knowing their investment is protected.

This system lets clients confidently invest in their renovation or build, knowing funds are safeguarded. And tradies can rest easy knowing they will receive payments on time, avoiding cash-flow issues that can disrupt business operations. It also provides clear documentation of contracts, claims and project progress, reducing disputes.

Beyond compliance and payment security, Witzer streamlines project management with essential tools supporting builders and clients. Builders can create detailed project scopes for accurate quoting and planning, store all communication, contracts and documentation in one place to prevent misunderstandings and track progress while submitting claims for completed work to maintain steady cash flow.

Milestone-based payments can also be implemented, allowing clients and tradies to approve transactions based on pre-set contractual terms, eliminating surprises and ensuring smooth project execution.

‘The Witzer App not only helps building professionals to trade within the legislation, but it also helps tradies get paid on time,’ says Witzer CEO James Robinson. ‘By securing the funds for the project, Witzer provides confidence to all parties from start to finish.

‘With all communication and payments in the one easy-to-use platform, Witzer ensures all parties have clear and transparent understanding of the project. By putting trust back into the industry, everyone will have a great result with Witzer.'

By combining smart integrations for compliance and project management, builders can enjoy an operational advantage by saving time and money. By automating key financial processes, reducing risk, and improving trust with clients, Witzer allows builders to focus on what matters most—delivering high-quality projects on time and within budget.

For tradies and contractors who want to protect their payments, avoid unnecessary disputes, and maintain compliance, Witzer is the ultimate digital solution.

*This article was compiled with contributions from Witzer.

First published on 17 Feb 2025