Fix the disconnect and see success!

[Patrick Townsend]

There is a real disconnect between investors and general contractors. I think that investors have to understand that contractors are just as much an investor as they are when you consider time and money they put into their company. I feel that contractors have to understand that investors work just as hard as they do when you consider the sleepless nights, stress and management they put into their business. I have worked both sides and have a truly unique approach to be successful. To sum it up, it’s all about the relationship, and two key components to a successful relationship is reliability and trust....

[Will Barnard]

I’m not sure I would agree that a contractor is an “investor” in the way an investor is. First off, most contractors are not that far behind as far as payments vs work done and they have legal protections to get paid if and when a problem arises via a mechanics lien on the property. An investor is risking a lot of money and the only pay day comes at the very end once sold (in the flip model).

That said, I do agree that a strong relationship with trust is essential to both successes. The problem is that most contractors don’t fully understand the flipper and in some aspects, the flipper does not understand the contractor side of the business. Personally I don’t have this issue as I am both and have my own crews so I have the best of both worlds and even with that problems arise on a weekly basis that need attention.

I think the happy medium is an experienced project manager to act as the liaison between the two parties. One that understands both sides, costs, how to resolve technical and design issues, contacts for discounted supplies, etc.