Thursday, March 5, 2015

Can I Use My Own Subcontractors Or Suppliers?

Can I Use My Own Subcontractors Or Suppliers?

This is a question Clients often ask. The short answer, it's a bad idea. 

When managing people the best way to make sure they perform to the highest standard is to make sure they are responsible for the outcome and have no excuse but to perform. 

Absolutely, everytime, I've made an exception, the Client and I always regreted that decision. The Builder has a team that is conditioned to working together and interested in being included in the next job. An outside vendor understands this job is a one shot deal. A long term relationship is not in the cards. Unfortunately, they also perform that way. 

When I was new to the business I allowed one of my first Clients to use an outside vendor. They had a close relationship with a national paint company that was giving him the paint for free. Despite my advice to the contrary we use his supplier. 

They provided the 5 gallon buckets of interior paint with a life-time warranty. We asked for specific application instructions and were told to apply as normal. Our painter sprayed the entire inside of the house with the free paint and all of it peeled off the walls and ceilings. 

After site visits from the factory experts and many accusations the supplier determined that they should have provided our painter with a specific primer. 

To fix the painting fiasco, we provided a team of 5 drywall finishers for 2 weeks to completely refinish the entire inside drywall finish. The Project was delayed by several weeks and additional supervision was required. 

New primer now applied, our painter sprayed a new test area only to have the paint peel a second time. The supplier threw up his hands and told us to use our regular paint. We continued painting without any additional problems. So much for the free paint!

Another Client insisted they wanted to have a boat dock installed while we were building their home. Being young and dumb, I agreed. They also wanted to use my subcontractor to clear the area where the boat dock was to be installed, being a great guy, I agreed. 

The Client directed the excavator to clear a specific area for the dock  without first obtaining a survey.  The dock was built as specified. After the home was finished and the Client moved into their new home, I received a phone call informing me that the boat dock was constructed on the neighbors property instead of his and that I was responsible because he used my subcontractor. 

When you hire a Builder make sure the plans and scope of work spell out everything that is to accomplished and then turn him loose to do his job. If somethings wrong it's his responsibility. In fact, no matter what happens once a Builder steps onto the job, everyone holds him responsible from the Owners, neighbors, County and all the other Government agencies. 

If you want a high quality job, let the Builder execute the building contract without interference. 

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