I know this has been discussed ad nauseum. But its an important issue, and the problems stemming from this issue continue to tally up daily – as witnessed by many of the posts on this board.
So I’m working on a handout that I can give potential clients, to educate and warn and hopefully aid them to make a good decision. Its still in the rough stage, but here’s what I have so far. Any suggestions are appreciated.
Choosing a contractor to work on your project<!—-><!—-> <!—->
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Choosing a contractor can be an intimidating task, laden with ramifications. Meaning there is an awful lot riding on making a good decision – so much can go wrong when you invite a stranger into your home or business to begin dismantling some part of it, and then rebuilding according to your vision, all for a large sum of money. Sometimes, the process gets over-simplified in the mind of the inexperienced: 1) Call three contractors; 2) get a bid from each; 3) pick the one with the lowest price.<!—-><!—->
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The problem is that price alone does not begin to cover all the issues that can arise. One has only to go on the internet, and google “contractor problems”, to see that there is a world of problems and headaches just waiting to suck in the unsuspecting. So HP Construction has put together this syllabus, or brief outline, of our best advice to anyone about to embark on this journey. Remember, this is just our opinion, but we hope it’s a helpful opinion seasoned by 30 years in the business. To help organize the process, we’ve broken it down into 9 key steps: <!—-> <!—->
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- The Initial Phone Call <!—-><!—->
- The Meeting <!—-><!—->
- Communication <!—-><!—->
- Price<!—-> <!—->
- Due Diligence and the Decision<!—-><!—->
- Contract <!—-><!—->
- Work Begins <!—-><!—->
- Work Progresses <!—-><!—->
- Work is Completed <!—-><!—->
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The Initial Phone Call <!—-><!—->
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Who to call<!—-> <!—->
What to say<!—-> <!—->
What not to say<!—-> <!—->
What to look for<!—-> <!—->
What to look out for <!—-><!—->
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The Meeting<!—-> <!—->
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Preparation – knowing what you want before you meet (the role of plans and spec’s)<!—-> <!—->
Respecting the bidder’s time <!—-><!—->
Apples to Apples<!—-> <!—->
Discussing Price and Budget <!—-><!—->
Working Conditions and special requirements – storage, access, work times and schedules, pets, neighbors, trust, daily cleanup, <!—-><!—->
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Communication<!—-> <!—->
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Keep the Dialogue Going <!—-><!—->
Expressing Concerns <!—-><!—->
Asking Questions<!—-> <!—->
Narrowing the options <!—-><!—->
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Price<!—-> <!—->
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Budget numbers and choices <!—-><!—->
What is included and what is not (contingencies and extras)<!—-><!—->
Apples to Apples (again!) <!—-><!—->
Flexibility on both ends <!—-><!—->
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Due Diligence and The Decision<!—-><!—->
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license, worker’s compensation insurance, liability insurance<!—-> <!—->
references and experience <!—-><!—->
the role of personality <!—-><!—->
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Contract<!—-> <!—->
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Important Dates (start date, estimated completion date, drop-dead dates and liquidated damages)
Progress Payments – keeping the balance of work and pay
Retention<!—-> <!—->
Legalese and “boiler platesâ€<!—-> <!—->
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Work Begins<!—-> <!—->
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Work Progresses<!—-> <!—->
Change orders and contingencies<!—-><!—->
Talking with the crew members <!—-><!—->
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Work is Completed<!—-> <!—->
Review the project carefully <!—-><!—->
Cleanup<!—-> <!—->
Final payment<!—-> <!—->
Retention<!—-> <!—->
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CaliforniaRemodelingContractor.com
Edited 6/21/2008 5:51 pm by Huck
Replies
I understand the concept you are trying to create but I'm not sure I agree with this if it's a handout. It might work better as a page on a website.
First impressions are important and the first impression (emotion) I'm getting from the opening two sentences is dread.
Bob's next test date: 12/10/07
Well, I could work on that. Although I guess that is the point, in the end. Caveat emptor.View Image “Good work costs much more than poor imitation or factory product†– Charles GreeneCaliforniaRemodelingContractor.com
There are two ways to make those points. One way is negative. The other way is positive. You are going to associate your name with their negative reading experience. Bob's next test date: 12/10/07
As a homeowner, I might appreciate this approach...or I might suspect you of being manipulative.
Another approach to stimulating new business, one that I discovered a bit late, is keeping in touch with past clients on a regular basis.
I usually had a good rapport with homeowner/clients so I expected that they'd speak well of me when the subject of home improvements or new home construction came up. Some of them did but most of then seemed to take my professional attitude and work for granted, forgetting about me soon after the job was done.
Whatever the reason for their forgetfulness, they can still become good references for new clients, if they're reminded of my existence by a holiday greeting card and/or a phone call, once or twice a year.
One client of mine only discovered what fine work I'd done for her after several of her neighbors had problems with other contractors doing similar types of jobs. Even then she didn't make any effort to send new clients my way, until I got in touch with her and let her know that I'd appreciate the referrals.
I usually had a good rapport with homeowner/clients so I expected that they'd speak well of me when the subject of home improvements or new home construction came up. Some of them did but most of then seemed to take my professional attitude and work for granted, forgetting about me soon after the job was done.
Hey - do we work for the same people??
My office girl is pursuing the follow up on past customers - something she read in Remodeler magazine. Appreciate the encouragement.View Image “Good work costs much more than poor imitation or factory product†– Charles GreeneCaliforniaRemodelingContractor.com
I wouldn't let anyone else make those calls...unless I had a very long list of clients. The way I'd expect to stir up real interest in helping my business would be to renew the friendly relationship which I had with the homeowners while I was in their home.
I'd also follow up each call with a short note saying it was nice to hear how well you and your family are all doing, and include a half dozen business cards.
huck... i would never dream of handing something like that to a person who had enquired of my services
first , i think the old saw about soliciting 3 bids is BS
unless there is a well defined scope of work.. and all three contractors do equal quality work... the Home Owner is not going to get much useful information from the process
as a contractor... i rely on the intial contact ... and the follow-up meeting to determine how i'm going to go about working up this job
perhaps it's a design / build
or just a straight proposal
a lot of time it is going to require several meetings just to help the homeowne3r determine what it is they really want to do
if i were talking to a friend in a far off location.. i'd advise them to get referrals and do their homework .... meet with several of the recommended ones.. then develop a scope of work
and ask for a proposal from the finalists
Well, at least I got a response from the heavy hitters! Not sure why you wouldn't hand something like that out...
i think the old saw about soliciting 3 bids is BS - that's basically what my original post stated (hopefully a little more tacfully!)
unless there is a well defined scope of work.. and all three contractors do equal quality work... the Home Owner is not going to get much useful information from the process yep, it stated that too (apples to apples)
a lot of time it is going to require several meetings just to help the homeowne3r determine what it is they really want to do that's the concept I'm getting at
if i were talking to a friend in a far off location.. i'd advise them to get referrals and do their homework .... meet with several of the recommended ones.. then develop a scope of work that too
View Image “Good work costs much more than poor imitation or factory product†– Charles GreeneCaliforniaRemodelingContractor.com
I'm sure that your motives are good, but this seems a little "preachy". I think that it's definitely overkill for a first meeting.
Few homeowners know it, but they need a short course (or perhaps a long one) on the whole remodeling process. IMHO, it's better to make your points during a relaxed conversation rather than giving them some "required reading".
I guess you'd have to know the context. Depressed economy here is fueling the "bootleg" contractor economy - I'm getting less than 5% of jobs bid. I've had one day's work in the last two months - yet bidding 4-5 jobs a week. What have I got to lose?View Image “Good work costs much more than poor imitation or factory product†– Charles GreeneCaliforniaRemodelingContractor.com
"What have I got to lose?"Your other five percent. Bob's next test date: 12/10/07
ROFLMAO!! touche!
I'll work on itView Image “Good work costs much more than poor imitation or factory product†– Charles GreeneCaliforniaRemodelingContractor.com
" First impressions are important and the first impression (emotion) I'm getting from the opening two sentences is dread. "
This captures it exactly . I do not think this is what you want to happen in your initial contact. My impression is that it is more likely to work against you.
huck.....
<<<<I'm getting less than 5% of jobs bid. I've had one day's work in the last two months - yet bidding 4-5 jobs a week. What have I got to lose?>>>>i think the problem is that you're "bidding"what you want is to not bidyou want to find out the scopedefine it in the terms that your business is expert at
present the proposaland sign the contract
you do NOT want to encourage them to find other bidders... NO ONE is going to be bidding on te same thingmost oter bidders are as clueless as your customersyou know you do good work at a fair price... you KNOW you are the best thing for them to go forward withjust sell the jobMike Smith Rhode Island : Design / Build / Repair / Restore