Include A Contractor Fee in Hard Money Draws

[Andre Jones]

For those that work with HMLs, how do you account for your contractor’s fee when creating your scope of work and requesting draws. I know it’s good to pay in installments, but how do you request a draw for only labor when an inspection report is required? Is it practical to only include materials in your SOW and cover the contractor’s fee out of your own expense, considering it’s part of the equation anyway? Thanks in advance!