Just some prospective from a contractor of 31yrs and please keep in mind my perspective is guilded by location and experiences.
Every building dept here outlines what can & can't be done without permits. A HUGE % of retail customers want unpermitted work done. WHAT? Let me get this straight...you know everything about Netflix but can't glance onto a website to find out about permitting? They literally vote for and advocate for regulation...but not for my house SMH. I should not have to no that a hot tub install close to a window has to have tempered glass, self closing lid, gate etc and when I share this they get upset & sometimes threaten to write a bad review Thanks for shooting the messenger. But they want me to jeopardize my small biz by doing unpermitted work.
Here's a news flash "investors" are even worse! I've been approached so many times by investors that operate outside of the law but want me to assume this liability and if/when things go wrong I'll be thrown under the bus. I understand margin collide and I really would like to accommodate them but not at my expense.
From a macro perspective I understand people don't like regulations etc, but it's out of my control, so I comply with the law. It's out of my control.
Each state has licensing laws and business and professions codes (yes, some more comprehensively than others) many outline down payments, draw schedules, license law etc. If investors are experts why don't they do due diligence and learn this stuff. Here in CA, ANY home improvement contract in 10% down or $1000.00 Whichever is LESS. A Contractor can write his draw schedules to keep on par with execution benchmarks though, done properly this provides safety for both parties.
Investors; have you ever looked up this information?
FYI; the CSLB defines a contractor as 1 who is proficient at writing a contract to execute the work "designed by others" Think about that for a minute, the only way to bid work accurately is from blue prints. Line item SOW fall short, heck even on well designed prints we have a spec book to supplement.
As investors/entrepreneurs would it not be reasonable to for use to manage ALL of our endeavors? Yes I too have been "burned" by a contractor but who was really at fault? Me. And will fault "fix" the problem? Nope, I simply laid for my education. In fact ever "problem" is my fault, that being said there is no problem, it's an opportunity for a solution & I wont make the same mistake.
I simply ask that folks consider things in a moderate a collaborative manner.
Consider this some "data" floating around suggests that during the GFC between 180k to 225k contractors permanently went out of business. BLS suggests 2.3 mil jobs were lost. Long term cause and effect elude most people, but could that have bearing on execution of real estate projects?
I understand that contractors are considered dumb, blue collar, un-organized etc etc. But has anyone considered that the big buildings, bridges, ballparks etc are built by contractors. Do you think we don't pay payroll taxes, comp, PL/PD Insurance, bonds, SEO and a litany of other things that all businesses pay? How many people young people wake up and say "oh I want to be a contract"? IDK but I suspect less than want to be REI, contractors are not a very sexy occupation Lol.
I wholly understand that we're popular to "blame" for REI problems but maybe theres more to it. Maybe try to understand more.
Sorry if this sounds like a rant or if I "offended" anyone, I'm a terrible writer, on my phone, in a pickup while waiting for inspector/utility people to even"show up" on their 4 hr window while the customer is pissed off at me for things that are out of my control.
im ready for the onslaught of investors to rip me lol
