How to Find and Keep a Good Subcontractor
About four in five contractors struggle to find subcontractors for any given project. If this has been your experience, you’re certainly in good company. That can still be frustrating, especially knowing that there are good professionals out there with more work than they can take on. If you can’t find the one you need, you risk losing out on lucrative projects. Here’s how you can find quality subcontractors, with a few tips on keeping them interested in working with you.
- Understand the Local Market
Even if you’ve been working in construction in your region for years, you still need to research the biggest shortages. It is possible that you will struggle to locate subcontractors for projects in almost any field, especially at first. But in certain specialties, you might have even more significant problems, depending on the market. Long before you’ve got projects that need subcontractors, do some investigation into which jobs are taking the longest to schedule. This will give you an idea of the fields that will need special care.
- Investigate Possible Subcontractors
If you were a client considering a contractor’s services, you would probably put them through a relatively thorough process to confirm that they were the right pro for the job. You should plan to do this with subcontractors, as well. Ask for bids from local subcontractors, with information including:
- pricing
- experience
- success rates
- references
- ability to complete the project
Keep in mind that high-quality but busy subcontractors might not bid on your projects, especially if they are occupied by contractors with whom they already have an established relationship. But this step will at least give you some data to start building a list of people you can hire for projects.
- Prepare for Contingencies
Every time you hire a subcontractor you’ve never worked with before, you take a risk. Remember that they are taking a risk on you too, and possibly a larger one in the first few years of your business. Reliable subcontractors may build in contingencies or other pricing models to make sure that they can still pay their bills when the project ends, even if it’s not a success. Confirm that both parties are clear on expectations, particularly surrounding payments. Be ready to share the same kinds of verifications you asked from subcontractors for your own business.
- Maintain a List of Reliable Pros
The early investment into locating subcontractors who can do reliable work should save you a lot of effort down the road. To ensure this actually happens, make a list of people you have vetted, with contact information and relevant details about their expectations for projects they accept. Follow up with them periodically to confirm that everything remains accurate, especially over time. You may hire certain subcontractors all the time and others just occasionally. Making the list only saves you time if everything you wrote down is still true when you’re ready to use it.
- Don’t Wait Until the Last Minute
When you’ve got too much work on your plate, whose projects are you most likely to choose: the person who doesn’t know you and represents a high degree of risk, or the company with a proven track record of success? There will be times when you’ve got to find or replace a subcontractor at the last minute, but you don’t ever want that to become the default. Instead, focus on building a professional relationship with the subcontractors who are the most reliable and who you will need on a regular basis. Then, they’ll be more likely to take the job when you need it most.
Becoming a licensed contractor with your own business usually means working with subcontractors. By following these tips, you will set up your business for better success. To get started, visit CSLS today!
