When choosing a contractor for a project – large or small – there is much more to consider than just price. Insurance, customer satisfaction, business years and expectations are some of the indicators that owners and property managers should consider before hiring a contractor.
1. Legitimate Insurance & Bonding:
Comprehensive contractor insurance to protect you and your clients is expensive and leaves many contractors poorly insured or uninsured. Before hiring a contractor, request a copy of the contractor’s insurance and verify liability and workers’ compensation coverage for the specific work being performed.
2. Referrals and Customer Reviews
A great way to find a contractor for your project is to ask around! References from colleagues, association members, friends and family who have previously hired the contractor provide insight into the quality of the contractor’s work and the customer experience they provide. Also, don’t hesitate to ask for references from a contractor for your specific project so you can familiarize yourself with their expertise.
3. Years in Business
When choosing a project, be sure to consider the company’s history, especially if a guarantee is important to you. According to the Small Business Administration, 96% of contracting businesses fail within the first five years. In order for a manufacturing warranty to be honored, the contractor must still be in business at the time the warranty is honored.
4. Established Expectations
A detailed contract is essential so you know your expectations and timeline are clear. Reputable contractors will also go over all their expectations with you – whether it’s moving cars, providing access, payment schedule, etc. They also make it clear that seasonal variations and weather conditions may impact your project and notify you of possible change requests. This may be required once work begins.
FAQs on Tips for Choosing a Contractor
Q: What are the most important factors to consider when choosing a contractor?
A: The most important factors to consider when choosing a contractor are:
- Reputation: Choose a contractor with a good reputation. You can check online reviews, ask for recommendations from friends and family, and contact the Better Business Bureau to see if there are any complaints against the contractor.
- License and insurance: Make sure the contractor is licensed and insured. This will protect you in case of problems with the project.
- Price: Get multiple estimates from different contractors before making a decision.
- Communication: Choose a contractor who communicates well and is responsive to your questions and concerns.
- Contract: Be sure to get a written contract with the contractor that outlines the scope of work, the timeline, the budget, and the payment terms.
Q: What questions should I ask potential contractors?
A: Here are some questions you should ask potential contractors:
- How long have you been in business?
- Are you licensed and insured?
- Can you provide references from previous clients?
- What is your experience with projects similar to mine?
- What is your timeline for completing the project?
- What is your budget for the project?
- What is your payment schedule?
- Do you offer a warranty on your work?
Q: What red flags should I look for in a contractor?
A: Here are some red flags to look for in a contractor:
- They ask for a large upfront payment.
- They are not licensed or insured.
- They have a poor reputation.
- They are not responsive to your questions and concerns.
- They are not willing to provide a written contract.
Q: What should I do if I have problems with my contractor?
A: If you have problems with your contractor, try to resolve them directly with the contractor first. If you are unable to resolve the problems on your own, you may need to file a complaint with the Better Business Bureau or your state’s attorney general’s office.