How a $420M Texas Contractor Uncovered $2.8M in Hidden Risk and Revenue

A deep dive into how BuildSafe IQ's integrated risk intelligence platform transformed Lone Star Development Group's multi-project portfolio.

CLIENT PROFILE

Lone Star Development Group, a $420M regional contractor with 18 concurrent projects in the Texas market.

THE CHALLENGE

Managing a complex portfolio with inconsistent contract terms, rising incident rates, and significant hidden regulatory and subcontractor risk.

THE RESULTS

$2.8M+ in identified risk exposure and revenue recovery opportunities. 85% potential gain in contract standardization efficiency.

Flying Blind with "Standard" Agreements

Lone Star Development Group was grappling with issues familiar to many growing contractors. Their portfolio of 18 active projects was managed with 47 different subcontractor agreement templates, creating a chaotic web of inconsistent insurance requirements, indemnification clauses, and change order terms. This lack of standardization exposed them to millions in potential liquidated damages, weather-related delays, and regulatory penalties across four distinct Texas markets.

From Contract Chaos to Data-Driven Clarity

BuildSafe IQ embedded a dedicated team—including legal counsel, a claims advocate, and risk engineers—to deploy our proprietary analysis process. We digitized all 18 contracts and used our proprietary algorithm to score and benchmark them against 500+ regional agreements, instantly flagging high-risk liquidated damages and weather allowance gaps. Our platform then analyzed every subcontractor, integrating OSHA records and litigation history to identify 8 high-risk subs with an average claim cost nearly double the portfolio average.

Quantifiable Impact on the Bottom Line

Bar chart showing $780,000 in revenue recovery opportunity.

$780,000 Revenue Recovery

Annual revenue recovery opportunity identified through optimizing inconsistent change order markup limitations.

Risk gauge showing $2.1M in weather risk exposure.

$2.1M Risk Exposure

Potential financial exposure from inadequate weather allowance days uncovered, allowing for immediate contract renegotiation.

Icon array showing 8 high-risk subcontractors identified.

8 High-Risk Subs Mitigated

Proactively identified and managed, mitigating a claims frequency rate 78% higher than the portfolio average.

Your Portfolio Has a Story. Let's Read It.

The same risks hiding in Lone Star's portfolio are likely hiding in yours. Let's find them together.

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