Choosing A Contractor

Planning a capital improvement project is a task that requires time and knowledge. Plan your project right from the beginning. Research your project in great detail. For example, if you are going to re-side your home, check out the various siding products on the web, request samples of the products, check to see if they have a listing of local contractors that are certified to use their product. Know what you are buying before you are buying the product. It is better to be informed then uninformed.

Before hiring a contractor, it is extremely important to compare the contractors that have provided your quotes for your capital improvement project. You should solicit two or three quotes and make sure that they are apples to apples and not apples to oranges. You don’t want to have any hidden costs during the process if you can avoid it. Once you have done your research on the product and have several quotes, then do your homework on the contractors. Here is a checklist of items that you should ask for or research:

• Ask for detailed information on the contractor; i.e. name, address, phone number, how long in business, workmanship warranty, copy of license number, copy of certificate of insurance including worker’s compensation.
• After obtaining their license number, check with the state to make sure the license number is valid and that it hasn’t lapsed.
• After obtaining the contractor’s insurance information, contact the agency to research any claims that the company may have against them.
• Ask for local references to contact and possibly drive by and look at the property to review their work.
• Ask the contractor is they belong to any type of professional association or is credentialed then research the information
• Contact the Better Business Bureau to learn how long a contractor has been in business and if they have any negativity.

Once you have chosen a contractor, here are some items that should be included in the contract with the contractor:

• Parties of the Contract
• Name, Address, Telephone Number
• Scope of Work
• A contract must spell out specifically what work is to be done by the contract.
• The method for debris and material removal once the job is finished
• Compensation
• A contract should state the total agreed upon amount, when payment(s) will be made, in what manner payment(s) will be made, on what terms payment(s) will be made
• Time Period, start and completion date
• Right-to-rescind or cancel the contract
• Warranty, A warranty should state what is covered, for how long and what the contractor will do if the work or product proves defective
• Restoration
• Indemnification
• Insurance
• Copies should be provided prior to any work is to begin
• Licenses and Permits
• Copies should be provided prior to any work is to begin
• Termination
• Default
  

Never pay a contractor for the entire job in advance and avoid paying in cash whenever possible. You should make every attempt to pay a minimal or no down-payment for services and supplies and don’t make payments for incomplete work. All the payment terms should be spelled out in the contract for you and understood by both parties. Never make a final payment or sign off on the work until you are satisfied with the work that was performed.

If you do your research, know what to expect and then communicate that to the contractor and be willing to pay a fair and reasonable price, you should get years of trouble-free performance out the product you chose and knowing that you made the right decision.