All Forum Posts by: Nick Grewe

From a licensed contractor to another..

1) You're a GC, not a handyman or tradesman. Put the tools up, it took me years to get past that stage

2) Always provide a contract. That's one of the main roles in being a contractor. Contract - Contractors. Everything should be in writing, scope of work, estimated completion date, warranty, change orders...everything. 

3) Team up and build relationships with good subs. Your subs are your team, the better your subs the better your team and results. Good subs are not cheap, so you may have to boost prices. My guys have been with me for years. 

4) Study your craft...Study the code book. There is a reason the GC code book has every trade code. We are suppose to know codes from each trade. You should know, framing, foundation, HVAC...all codes. You should know the codes like the city inspectors and not fail inspections.

5) If you make a mistake, eat it, don't boost price on customer for a mistake you made

It took me years to learn this, I wish someone had told me this. Took a lot of years to learn the hard way and get to this point. Good luck.

Yes this^^^

I used to have a weekly meeting with clients and took notes of what had been done, what was going to be done, customer concerns, and financials. 3 part NCR and everyone got a copy. Saves a lot of misunderstandings down the road.

@Andrew Bang I work for a top 5 national general contractor and I agree. Scopes of work, having a detailed construction schedule, keeping your schedule updated, and have your billing line items broken down by activity not just lump sum (this way they can't bill for activities they haven't started).

As others have said communication is important.  Return calls, texts, emails in a timely fashion or even consider setting up a scheduled time dedicated to chatting with clients.  I'm not sure how realistic that is in your field but would be nice if possible.

 Excel at giving people what they want vs what they ask for.  My man @Bruce Woodruff likely has a wealth of examples where he as a contractor exercised this skill.  I'll make up a generic example:

Client asks you to install a barn door for a spare room.  Rather than drawing up the estimate, you get to know them and understand their needs better.  Come to find out they need this extra room to serve as a bedroom for a light sleeper.  You recommend something that will eliminate noise better.

Be clear on the how likely or not the estimate you give may have additional unforeseen costs, make sure they understand that agreeing to it in writing or that it's reflected in your estimate, and how much in contingencies they can afford.

Be up front if you're going to accept other jobs while doing your clients so if you're not present a given day it's not a surprise.

Educate clients well so they understand what to expect, what is and isn't possible as to not take it out on you later.

@Nick Grewe There has been some great advice already given.  I will add some advice of my own:

Spend the effort to understand the job (materials and labor required) prior to quoting it, and starting it.  Whether it's new construction or a remodel, 99-100% of the materials required and labor required can be known.  The problem is most contractors just "wing it" on both materials and labor.  They "guess" at both, and tell themselves "I will just figure it out as I go".

This results in miscommunication with the client (how do you communicate to the client what appliances are specified in the quote, if you don't even know yourself??), cost overruns, and schedule overruns.

@Nick Grewe seems like #1 is learning the industry, because your mixing up being a construction co. with being a GC, two VERY different things. 

Being a Construction Co. is all about the work you do. Being a G.C. is all about the work you MANAGE. 

A G.C. is the "Ring Master", not the performer. They have the ability to build a well rounded stable of "performers" and to organize them into a manner that put's together a concise, efficient production that achieves an end for the client. 

There is a common delusion that a person get's good at being a tradesman that they will just be good at being a Foreman, and it's not always the case. Or a good foreman too being a Construction Co. owner, or good Construction Co. owner too G.C.. All these are key people but all different, doing different things, specializing differently. 

For myself, most important to being a good G.C. is actually being a G.C., just start there, not being a tradesman who think's there a G.C. because they got a license, a license only means you have permission to try, not that you are anything. 

Biggest things for me:

detailed bids/scope of work

know when you can start and roughly how long it will take

I am always nervous when contractors ask for money up front. Be fiscally responsible enough that you can cover materials/labor and have predetermined draw periods if very large projects

I know this can be hard but think as the owner would. As a contractor you may have a plumber you like working with but on big projects I still think getting a few bids is the right thing to do for your client as a general contractor. Try to save them money where you can and provide alternatives that are easier/cheaper to do and would accomplish a similar goal. (resurfacing cabinets vs new/cleaning sink instead of getting new one etc)