I will disagree with @Bruce Woodruff on 1 point that he made . Paying a deposit . The contractor is not your banker .
Well, let me explain further....while I generally never took any (or much) money at the time the contract was signed, The first Friday thereafter was a different story. I just felt it made the customer feel more comfortable starting out if you didn't ask for money, but I would let them know that the first progress payment would be due the following Friday and that it would be a larger one.
Now after getting the privacy fencing and port-potty in place and the jobsite secured (and maybe a little demo and layout started) I would submit an invoice for 20% electrical, 20% plumbing, 20% cabinets, 10% General Conditions, etc. This first draw was usually in the range of $30,000.
So I did not play banker for long, just enough to get started and get everybody comfortable.
Your other advice is spot-on, and you're right....waaay more bad customers than bad Contractors. A customer has nothing to lose, a GC can lose everything.
Contractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes
2y
Not in your area....but 1) ask for references and check them all, 2) make sure that you are both in agreement on everything that you want to have done and that it's in writing - everything. 3) DO NOT pay the Contr money up front. You should pay as you go, for example, he finishes the electrical, you pay him for that. A good Contr should not need a bunch of money up front that is a sign of a poorly run business. 4) Once you start, do not change anything.
Just my $0.02 based on a few years of doing this...... :-)
Not in your area....but 1) ask for references and check them all, 2) make sure that you are both in agreement on everything that you want to have done and that it's in writing - everything. 3) DO NOT pay the Contr money up front. You should pay as you go, for example, he finishes the electrical, you pay him for that. A good Contr should not need a bunch of money up front that is a sign of a poorly run business. 4) Once you start, do not change anything.
Just my $0.02 based on a few years of doing this...... :-)
Thanks for the info. Any advice on how to structure the written agreement.
Not in your area....but 1) ask for references and check them all, 2) make sure that you are both in agreement on everything that you want to have done and that it's in writing - everything. 3) DO NOT pay the Contr money up front. You should pay as you go, for example, he finishes the electrical, you pay him for that. A good Contr should not need a bunch of money up front that is a sign of a poorly run business. 4) Once you start, do not change anything.
Just my $0.02 based on a few years of doing this...... :-)
Thanks for the info. Any advice on how to structure the written agreement.
A good contractor should have a state-legal written contract that he uses. You should not have to provide one of your own. If he has no contract or if it's only one page, then stay away. PM me if you need more info.
Does anyone know any contractors in Greeley, CO or near the area, with references. Also, any tips on what to look for or ask a contractor?
What kind of work are you looking to get done? I know a few.
Hi Holly, I have things such as interior and exterior painting, bathroom remodel (bathtub, sink, tile, toilet replacement) minimal kitchen repair/remodel, possible roofing issues, floor replacement, carpet installation, wall patching, ceiling finish, landscaping, and a possible wall demo.
Id really appreciate any contact info you have, thanks for replying :)
Severna Park, MD · Member since 2013 · 7k+ posts · 7k+ votes
2y
I will disagree with @Bruce Woodruff on 1 point that he made . Paying a deposit . The contractor is not your banker . Depending on the job , the contractor may have thousands paid out on materials specific to the job . Laws differ state to state as far as deposits . In Md we collect 33% when a contract is signed . ( A contract is not valid without consideration ) . Subcontractors need to be paid , permits etc . We never use our funds to finance a customers project . But we do offer financing thru a vender .
Before you hire a contractor , I suggest you find the State court website and search the contracting company and the companies owner for lawsuits .
We check the court website on every customer to see if they are being sued or have judgements against them .
There are more bad customers out there then there are bad contractors
I will disagree with @Bruce Woodruff on 1 point that he made . Paying a deposit . The contractor is not your banker .
Well, let me explain further....while I generally never took any (or much) money at the time the contract was signed, The first Friday thereafter was a different story. I just felt it made the customer feel more comfortable starting out if you didn't ask for money, but I would let them know that the first progress payment would be due the following Friday and that it would be a larger one.
Now after getting the privacy fencing and port-potty in place and the jobsite secured (and maybe a little demo and layout started) I would submit an invoice for 20% electrical, 20% plumbing, 20% cabinets, 10% General Conditions, etc. This first draw was usually in the range of $30,000.
So I did not play banker for long, just enough to get started and get everybody comfortable.
Your other advice is spot-on, and you're right....waaay more bad customers than bad Contractors. A customer has nothing to lose, a GC can lose everything.