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Discussion Forum

The job I want to get….need advice

VintageSeattle | Posted in Business on March 25, 2005 06:43am

Hi guys,

I’m here in this Big NW city, me, Sole Prop. General Contractor specializing in old house renovations with a keen eye toward the vintage and historic and a lot of enjoyment gained by giving personal renovation and design service.  If I look down my list of references and jobs in the last years it’s been professionals, local academics and employees of one of our big universities, tech types and a lawyer thrown in.  I generally charge on the upper end and do the job right and do all my own electrical, plumbing, structural, tilework and some stonework. I’m kind of an odd duck in some ways— a note about doing the electrical and plumbing, I know it’s controversial doing it, but most of my jobs are smaller jobs, like kitchens and baths that require maybe a new circuit or two pulled and that’s what I do for these jobs. At one time in the past I worked for a builder flipping houses and I did the elec. and plumb. for these houses + my own –permitted with inspections and so I know what to do and know what my limitations are.  I’ve been in business 16 years now and have been this season running ads on Craigslist as my old customers seem to have run out of work or money. 

Craigslist has provided a wide variety of leads for jobs as of late, actually a good place to try if you are looking for business.  Many leads are from low-budget folks but now I have this new job possibility of working on a pre-war $million house in a prestigious in-city neighborhood. This is for a bath, kitchen and adjoining area work.

An architect contacted me from Clist and evidently the General that originally was bidding on the job was just too slow on pulling everything together. There is also a designer on this job.  I have met the architect and one of the owners and we have seemingly hit it off which is, of course, positive.

For me this is a step up as I haven’t worked for an architect in a while and seldom do.  I want very much to make this work out for future business and for generating new referrals both in this area of the city, with this architect and this particular homeowner, who is, put it this way, a high-end professional.

Here’s the deal I’m having trouble with and/or am new at:

The architect is doing a lot of the arranging of bidding by subs such as:cabinets, electrical, plumbing, tilework, painter and the owner will contract with these subs independent of me. Also appliances were ordered by owner, high-end range etc.  Also, evidently the designer is getting the tile.  Everyone seems to be putting their hands in the markup pot!

I am very comfortable with the setting, working with the architect, the homeowners, and I’ll be responsible for protection of surfaces, dust control etc., demo, carpentry-rough&finish and possibly some things like laying a cork floor in the kitchen.  Also, I’ll be on the job every day available to the subs and homeowners keeping the project moving along and interfacing with the architect on scheduling, problems etc. The architect sees this as a colaborative effort with me and I am comfortable with that.  What I can’t figure out is how to price my services out.  Basically I’ll be married to the project, during prime season, for probably three months, maybe more. On most jobs I prefer bidding out the job, or just naming my price.

On this one I’m thinking, I won’t be able to markup any subs so I was thinking of charging a basic weekly fee to be on the job to cover myself and what I could be earning on a “full-service” job completely on my own. Any materials that I procure would be charged cost plus markup, say 15%, but depending on what I work out to be my weekly fee.  I think the architect may be wanting some big number from me to cover all my required areas of work: demo, carpentry etc.  ……but I need to be comp’d for overseeing the whole thing, I’m the guy in the trenches with the cell phone and keeping things together.  Also, some installs and tasks are yet to be assigned to subs and may fall in my lap so I want to be covered for these things and be available on an as-needed basis to prove myself handy to have around.

Do you guys think my idea of a consistent weekly rate is reasonable?  I’m thinking this is a $120k plus remodel by the way.

 

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Replies

  1. User avater
    RichColumbus | Mar 25, 2005 07:19am | #1

    If I had to take a wild guess... your architect is maybe exploring construction management as an additional source of revenue.  I had an archy approach me about something similar last year (maybe they went to a seminar... I had a friend that was approached by a different architect).  I didn't have time to even look at it at any great depth... but the little I did learn was somewhat interesting.

    Bottom line... you know what you need to make... so ask for it.  If that is acceptable, you'll get it.  If not... you will be told so.  If you make $XX for that period... ask for it.  Include what you would make by marking up the subs, etc.  Instead of it being a markup.. it is a higher bill rate.

    FWIW, doing low cost work for the "possibility" of additional work is not a good idea.  Give the breaks once the additional work materializes.  Maybe I read your post wrong... and if I did... sorry.  But it just sounds like you may have been considering this route.

    1. VintageSeattle | Mar 25, 2005 07:34am | #3

      Rich,

      Ya, my thinking exactly, he seems to be getting into Const. Management to make some more $$$, hey we are all trying to steady up the cash flow, right?  However,this archy is a $million house owner as well, so he ain't hurtin'! 

      I agree, charge what I'd make otherwise on another good job.

      Work has been sparse lately so I'm anxious to land a good gig, want to make sure it's good however.....

      Thanks for your thoughts.

        

      1. User avater
        RichColumbus | Mar 25, 2005 08:19am | #5

        Keep in mind.. I am not saying that the archy getting into construction management is all bad... in fact, I think it is an interesting concept.

        But before I would take that leap during peak time... I would need to know a LOT more about it.  And how to make as much (if not more) money doing it.

        You may want to have a discussion with the archy about his long-term goals to get a better picture of the landscape.  Done in a diplomatic manner... the archy shouldn't have too much of a problem discussing.  If he does have a problem... then it is not a "true collaberation".... and you may want to reevaluate your position in the food chain.

  2. User avater
    SamT | Mar 25, 2005 07:22am | #2

    So the Archie wants you to be a subcontractor on your parts AND act as the HOs' Site superintendant?

    This archie obviously is a wannabee general contractor, BUT, he wants to do it under your license.

    You either set him straight or walk.

    Let him pull the general permit, you only pull those specialty permits that you are licensed for, give him a firm bid on your parts, then charge him $80/hr when you act as his onsite representative (Super.)

    SamT

    1. VintageSeattle | Mar 25, 2005 07:49am | #4

      Sam,

      i'm not getting any permits, the homeowner already has the building permit and i'm not going to be pulling any other permits.

      like your $80/hr figure, that's what i like to make on jobs when things are going well, which can be few and far between with our still-a-little shakey NW economy.  thing is i don't think this is going to bring in that kind of money, the archy and the homeowner are sharp on pricing, if i can make $60/hr on a week-by-week basis for, say based on 45 hours a week, whether i'm cutting 2x4s or coming in and out checking on subs, that's what i'm after.

      i'm not ready to walk yet, want to win this one if it's the right move...

      thanks for the thoughts... 

      1. Dave45 | Mar 25, 2005 03:59pm | #12

        You should have a heart-to-heart meeting with the archy and work out a "fee" for Construction Management services.  Part of that fee needs to cover any liability you be assuming as a CM.  If there's NO liability, the fee covers your time.  If there's ANY liability (or potential liability), the fee needs to increase to cover your insurance costs.

        1. VintageSeattle | Mar 25, 2005 04:27pm | #16

          Well put Dave, thanks.

          good pt. on liability, but if I do assume liability and my insurance costs something like $80/month what amt. do I charge?

          thinking out loud here.

          BG 

          1. Dave45 | Mar 25, 2005 04:43pm | #17

            Well, you would have to charge at least $80 per month - or the hourly equivalent (~50 cents/hr?). 

            Personally, I roll insurance costs into my overhead at the actual cost.  I only add a markup to job related tools and materials.

          2. User avater
            SamT | Mar 25, 2005 05:23pm | #18

            Big,

            This is being written BC, so bear with me.

            Who is responsible for contract cracks?

            when you are the GC, you automatically get to do everything the subs haven't covered. In this case you have a certain scope and other subs have their scope.

            For sure there will be things that aren't scoped yet. Dumpsters, site cleanup, etc.

            Change orders? T&M? Freebies?

            SamT

             

  3. calvin | Mar 25, 2005 01:51pm | #6

    Big Guy,  Has the architect actually offered to pay you for the site supervision?  or is he thinking that since you are the one who is going to be there "most" of the time, that you can "handle" any problems / questions that come up while you are there. 

    You have been in the business long enough and have supplied this service before on your own jobs.  If you're operation has been like mine, you were the contractor and also the lead/carpenter crew.  You were responsible for all the subs, your actual work and any decisions on the job.  Hopefully you were remunerated for the supervision or had figured it in your lump sum price. 

    In this case, the owner is the contractor, the arch is supposedly managing the project, spec'ing the goods-interviewing subcontractors, the designer is ..........designing.  Are you sure they don't just want you as the carpenter for $ and your expertise for "cents"?  If I'm misinterpreting the situation, sorry for wasting your time. 

    Remodeling Contractor just outside the Glass City.

    Quittin' Time

    1. MikeSmith | Mar 25, 2005 02:35pm | #7

      big..

      <<<<and evidently the General that originally was bidding on the job was just too slow on pulling everything together. There is also a designer on this job>>>>

      perhaps the GC was slow because he couldn't get what he needed to do the job..

      i'd figure the job as if i were the GC.. add up all of the subs, all of the ,materials.. our in-house labor..

      then i'd add inour O &P based on the whole job

      then i'd back out the subs and materials that are being provided by the Architect/Designer/Owner..

       i'd distribute the O&P  that was left thru our in-house and that would give me the price..   price divided by in-house labor plus a cushion would be our T&M rate

      ie: just like the others said.. you have to make you 3 months contribution to overhead  one way or another.. or   don't take the job..

      i think the architect is jumping over the fence.. instead of the traditional  Architect/Owner/ Builder... he wants it to be   Architect /Owner.. and you're the hired help.. fine.. but if the liability is still yours  ( and it will be ) then the risk /reward is still yours

       Mike Smith Rhode Island : Design / Build / Repair / Restore

  4. DANL | Mar 25, 2005 03:07pm | #8

    I only read your post before responding; sorry if I'm repeating what others said: you are describing a job I would call "Clerk of the Works". When I was the planner on a HUD project, it was required to have one on site. I would probably pick a suitable hourly fee, or just write it up as something like "services as clerk of the works at $80 per hour for 40 hours a week: $3200/wk." Something like that. The other things you do would be an additional fee (in my estimation).

    Edit: I'd say "on site supervisor" is the same and sounds better than my "clerk of the works". If you low-ball your price, the architect won't respect you. Ask for what you think you are worth and if they are too stupid to hire quality, it's their problem. Like others said, sounds like the architect is trying to be a GC on your license. Problem is you lose a lot of control over quality when someone else schedules subs and purchases materials.



    Edited 3/25/2005 8:12 am ET by Danno

    1. VintageSeattle | Mar 25, 2005 03:27pm | #10

      Yes, Yes!!!

      Danno, you are hitting the nail on MY HEAD! Exactly what I'm thinking on this job as a per week fee, exactly, you are reading my mind.........you other gentleman are also saying the same thing on this............your thoughts, all of you, are very helpful as being a one man show I sometimes need someone besides the wife to bounce things off of.....thank you gentleman.

      I basically don't want to estimate this whole GD thing and waste my time doing that when the architect has already, per my conversations with him, "done so much of the planning" on this job,  I want to make it easy on myself and either get on with it or move on to other things----I've already spent this whole week visiting the site, thinking about it, making spreadsheets,a hypothetical (albeit ltd.) flow chart, numerous calls to the archy, cell phone usage, meeting the owner, petting the dog-and being nipped at, I'm already paying my dues IMHO.  This is the level of a job, and client, that can support the weekly fee idea, I think.

      Cal, Mike.......I did mention, vaguely at this point, the idea, over the phone, of a "salary" for the combo of overseeing and carpentry to the archy, and he did not dispute this idea, but I'm getting ahead of myself a little here....another meeting with him this afternoon.

      BG 

      1. DANL | Mar 25, 2005 04:05pm | #13

        Thanks for the good words! Isn't it a pain when you kNOW you are the perfect person for the job, that this is the work you were made to do, and so on, yet you can't guarantee that you'll get the job?! I designed a house for some people when I was young--they paid $300 for a full set of plans I drafted (after they decided to do the mirror image of my first set after I had burned in the lines and entered all the dimentsions and so on (so I couldn't just flip the drawing)). They rarely looked at the plans and that's another story. But when I was done, I felt so strongly about sighting the house in a nice landscape, I approached them and they didn't want to pay for a landscape plan, so I did one for free and gave it to them--along with a design for a stained glass window they had talked about. They got their money's worth on that one!

        Ditto my brother asking about a retiremenyt home. He told me some ideas, I drew them and mailed them, emailed back and forth, redrew until I had the perfect plan--haven't heard a word from him about it since I sent him the last and best plan. 

        1. VintageSeattle | Mar 25, 2005 04:14pm | #14

          thanks Danno!,  yes, I would be the perfect man for this job.....we've been there before though.... actually maybe not quite on this one, I'm too good for this one,  ha!

          I'd like to post a link to the archy's website here to give you all some sense of this guy......he and his partner espouse: "architecture, art and design", something like that............is that a little too obvious for this message board?  maybe I can email it to you guys?

          my meetings with him have been good thusfar so I have some faith that things can proceed further and that I can have the "heart to heart" with him on my potential involvement and compensation. 

          .....we've all been there before though! 

          1. VintageSeattle | Mar 25, 2005 04:21pm | #15

            .....the archy also lectures at our BIG University here so one has to think that he's a decent guy

            ....I have an architect/designer friend that I got to know through a ret. design professor that I did work for, he was one of his former students-many years hence, so I'm thinking I might culitivate this new architect as a good contact to have as he is much higher profile than my long-time friend/architect will ever be.

            ....getting ahead of myself just a little again!

            BG 

    2. VintageSeattle | Mar 26, 2005 02:17am | #21

      Ok, had the meeting with the archy.....before I met with him I bit the bullet and decided to put something on paper, printed out:

      $3000/week

      600/day

      + materials @ cost

      + $22/hr for laborer(s) which I would be responsible for, likely $1500 total cost.

      Before I presented my simple print out we went over his pencilled-in flow chart and then it felt like the time was right to lay my cards down, it's Friday after all. He said it was expensive and then we talked about how he is handeling all the subs and the owner is paying them directly so I have no opportunity for profiting from this and he said he understood that.  We came up with about ten weeks for me, so about $30k. I'd be responsible for demo, laborer coord., debris p/u, assisting with subs, being there all the time, doing my carpentry thing, interfacing with archy, tasks that slip through the cracks, high-end appliance installs, trim-out, doors, hardware, etc. 

      I left feeling like I had probably lost the job, but not sure.   I would kind of like to be able to offer something as an incentive, maybe a price break, everybody seems to like that, so they feel like they "got something" rather than just a price, but don't want to seem desperate or like I want to bargain on my rates.  Any ideas guys?

      He is supposed to get back with me on Monday, we'll see...........job is supposed to start in two weeks, so I better get cracking on some other gig next week either way.

      BTW, I did ask him about his firm taking on more Const. management and he said: "yes, when it  is called for", so I think this is still new for them at this point, but I think they realize the profit potential and/or how it can be a valuable service to the homeowner, especially hand-selecting subs.

      Lovin' the input you guys are coming up with, great fun to interact on this board!

      BG 

      1. Frankie | Mar 26, 2005 04:45am | #22

        I just read this thread for the first time, now. Red flags all over the place.CL is a good place to look for work but, as you stated CL'ers rarely have $$. They see themselves as part of a web community and prefer to keep things loose, undefinded and themselves involved with everything.You haven't been turned down and you are already considering giving them a discount becaise "everyone likes that." Hey, everyone likes apple pie - send me one. They ARE going to turn down your initial terms/ bid. It's called "negotiating." Wake up and start negotiating. If you are going to give them something - even a discount - they have to give you something too. Nothing is for free.You have already spent too much time on this project without any kind of compensation. That is going to be a hard precident for you to change. In other words, by not establishing working terms from the beginning and spending phone and face time with all parties, without any compensation terms, you have basically tdemonstrated that you don't value your own time. So, tell me why should they?You must change your behavior. They won't like it. They will do whatever they can to keep you from changing. The weird thing is that they will respect you more/ most if you stick to your guns and do what's right for you. The end result is, it will be what's right for them too. Best they realize that now and not 3/4 down the project road when they start blaming you for errors.FWIW - if they are paying the subs but you are scheduling them, be sure to include in the terms that no subs get paid without your authorization. This makes the sub obligated to you and prevents the HO from undermining your authority.This could work out quite well but only if you run it like a professional. Your comment about being too lazy to do a cost analysis would worry me if I cared.

        1. VintageSeattle | Mar 26, 2005 05:29am | #23

          you don't mince words Frankie,  thanks for the advice, you must care a little, or you just like to spout off.

          BG 

          1. davidmeiland | Mar 26, 2005 06:11pm | #28

            Hey, what does your liability insurance say about construction management? Mine exludes it... somehow they distinguish between CM and contracting, and since I do contracting only I don't care. I'm sure I could buy a rider to cover CM if I were doing any. I'm insured with a Seattle company that does a LOT of contractors in the Sound area... what about you?

          2. VintageSeattle | Mar 26, 2005 06:33pm | #29

            ya, know who you mean david, I'll go reread my policy, thanks for the tip. 

      2. joeh | Mar 26, 2005 05:53am | #24

        Big, looks like you're figuring 10 hour days @ $60 an hour?

        When was the last time you did a job like this and knocked off after 10 hours?

        If the days go 12 & 15 (normal) are you on the clock?

        Joe H

      3. bchanson | Mar 26, 2005 10:25am | #25

        I've been reading throught this thread and two things come to mind: 1. red flags and 2. are you bidding on the same job that I am? #2 first. I am a sole prop / one man show who hires on extra help as needed. I live in the "big city" here in the PNW -- the one with coffee in the water supply. I do mostly remodels in the older neighborhoods closer to downtown. I have been going around and around the last few weeks on a bid where some of the details are vague but they want to start ASAP. sound familiar?now #1. here is the biggest red flag for me. the archy sounds a little like he wants to manage the show and get paid for it, but he doesn't quite know how to go about it. he has you there as his back-up. This means that he will run decisions by you and then he will collect the fee. If things go wrong, he says "BG is responsible, he made the call" If things go right, the archy gets the credit. In one of your posts you said something like you will "assist" the archy in scheduling the subs, etc. and you are responsible for the laborers, picking up the loose ends, checking materials, etc. These are the GC's duties and if you are doing them, you should be getting paid for doing them. I would be wary of trying to walk the tightrope in some middle ground. Either set your hourly rate, work as sub and leave the job behind at the end of the day, or be in charge, worry 24/7 about scheduling and who shows up and who doesn't and get paid accordingly. There is no net under this tightrope.just my two cents and maybe I'm reading too negative here, but I would be a little uneasy.

        1. blue_eyed_devil | Mar 26, 2005 02:51pm | #26

          There is no reason to be uneasy. The architect is trying to establish a superintendent relationship. At 30k, this super will be overpaid. I think it's a deal breaker because most superintendents will work for 1k per week.

          blueJust because you can, doesn't mean you should!

          Warning! Be cautious when taking any framing advice from me. There are some in here who think I'm a hackmeister...they might be right! Of course, they might be wrong too!

        2. VintageSeattle | Mar 26, 2005 06:38pm | #30

          .....sure I probably overpriced it, egged on a little by some of you guys (ha!), however the ambiguity in the roles involved leaves me needing to cover my back side and pad the price for the ambiguities.  I basically want to be covered for and have some of the profit if I am going to do what I usually do (which is run the whole job on my own). My pricing includes getting along well with and reassuring the family that has kids of all ages and dog, keeping the dust out, cleaning up fanatically, helping in with the groceries as needed around the mess, doing my carpentry, making sure the subs aren't idiots at a given moment, doing anything else that nobody else can do, hiring and managing laborers, interfacing with the archy, maintaining quality, fine-tuning the schedule daily, delving into unseen problems.............and I'm sure there are some things I've missed.

          my point with all this rambling.............say the job total cost is $120k, which is,from some of the sub's bids that the archy has shown me fairly realistic, my 30k fee for what I am doing doesn't seem that far off to me.  If the archy wants me just to sub and he drops by 4x a day from his office on the other end of town then that'd be different. With me on the site he can pursue other things and get paid for it.   In a way I'm his agent and will have a duty to (fiduciary?) him to do well by him in the trenches.

          blue, I don't see how a "working super" is going to work for $1k a week, that's unrealistic here in coffeetown anyway and I'm not upcharging any materials or fees.

          thanks again for the input guys, hey, even Frankie was good to hear from, hey Frankie! 

          1. Frankie | Mar 27, 2005 07:12pm | #34

            Wait for the decline or the counter offer. Take a longer studied look, a deep breath and say "Let me review this, think about the offer and I'll call you tomorrow to discuss it further." He/ She /They will try to persuade you to make a decision or discuss it further on the spot. Just tell them it is a serious commitment which merits thought and reflection. You will need the overnight to do this. As far as fees and roles. You, so far, have a built-in ambiguity. You need to define with the arch EXACTLY what your roles will be. I have been in your situation many times and it turns out that the SS is doing the PM's job, because he is on-site and it seems to be more time efficient. But he is only getting paid as a SS and still has other roles at the site which eventually become neglected.I have done/ do site and PM work but they don't go well together. They use dif tools and operate in dif parts of the site. You pick up a hammer/ nailgun, only to be called away to discuss a scheduling, design, construction or other issue and when you return to the trade work you need to remember where you left off. Lots of starts and stops. Efficiency declines while scope of work increases. Something to think about.No "spouting", just passion.F

          2. VintageSeattle | Mar 30, 2005 09:13am | #35

            Hi all!

            Update,

            Haven't heard from the archy.......since I am on to the next proposal doing business as usual for me:  project from inception to completion as lone dog, no archy, no subs likely, I'm not thinking much about how the "big job" with the archy and super-affluent h.o. fell through.

            you guys all came up with food for thought for me and I appreciate it.  I really shot from the hip on my proposal for the big job and it showed I think.  I'm not much for job costing, methodical bit-by-bit estimating to come up with a to-the-wire bid. I guess I'm relying more on selling my self, my integrity, my persona and my ability to complete a job and keeping a keen eye on the details.  Well, you can't charge both an arm and a leg for that. 

            Interesting on this one though, here's this affluent Doc paying all the subs himself, hiring an archy and designer and then basically trying to short change the GC by bringing him (me) in as a wage earner and then appaled that I want a piece of the pie.  Kind of a familiar ring to that tone?

            Probably why the first GC bailed and they found me, the lone dog on Clist, trolling for work.   Ya, I gotta get wise and find better ways to connect directly to the homeowners.

            This new project I'm looking at is from Clist though, hmmm?   Let you know what happens......

            So, you guys that are into stats, how many jobs do you win out of the many you are invited to bid on?

            With our economy still on-the-mend here in coffee town it looks like even the big boys are watching their pennies. 

          3. davidmeiland | Mar 30, 2005 04:41pm | #36

            I started getting craigslist when it was on an email server, mid 90s some time. Later it became a website and in the Bay Area it is something that everyone uses... it's huge compared to the Seattle version. I've bought and sold tons of stuff there, including selling our last house to someone from CL, and lined up dozens of wedding and product photography jobs. However, I don't think it's going to be good as your main advertising venue. People will not expect to pick up a fully-qualified GC there... so in their minds you'll be a step or 2 above a handyman, more in that category. That perception will limit what you can charge.

            There's been a lot of discussion here over time about good advertising methods. Bottom line, if you want to sell to architects and get opportunities to bid on their jobs, you need to get in their offices and show your portfolio. There are plenty of architect-designed jobs out there and the archy usually stays out of the production entirely, or maybe does some construction supervision without being involved in the dollars. So, get a portfolio of photos and other goods together, get your bidding together, and go after it!

          4. joeh | Mar 30, 2005 05:54pm | #37

            Hijack.........

            http://saltlakecity.craigslist.org/about/best/sfo/64767968.html

            Funny stuff on Craigslist.

            Joe H

          5. MikeSmith | Mar 30, 2005 08:19pm | #39

            yur right , joh... good stuff..

            reminded me why i avoid sam's clubMike Smith Rhode Island : Design / Build / Repair / Restore

          6. User avater
            JeffBuck | Apr 01, 2005 06:07am | #40

            "reminded me why i avoid sam's club"

             

            no pimp sticks either?

             

            Jeff  Buck Construction 

               Artistry in Carpentry

                    Pgh, PA

      4. DANL | Mar 26, 2005 03:52pm | #27

        I can't really add anyhting more useful to you than what the other posters said following your post #22. Good to put as much as possible in writing to prevent confusion and loss of compensation later. Good luck!

      5. Dave45 | Mar 27, 2005 03:54pm | #31

        I think you're over-analyzing this at this point.  You've presented a proposal and price and now it's time for the archy to respond - probably with some kind of counter offer.  When he does, tell him you'll think it over and get back to him.  Never make concessions until you have a reason to do so.

        The only 'red flags' I see are some potential ambiguities with the labor.  If the archy is contracting the subs and the homeowner is paying them directly, I'm not clear on why you should profit from their work.  Your only job is supervision and that's covered by your hourly rate.  I agree with the poster who said that you should be the person who approves payments to the subs - without that, you have little real control over their work.

        This whole thing sounds like a new experience for both you and the archy and you're both learning as you go.  Probably the most important agreement you can make is to talk over problems as they occur (and they definitely will), and 'tweak' your deal as necessary to keep it fair for both of you.  It will make it much easier for both of you on the next project.

    3. concretekid | Mar 30, 2005 06:08pm | #38

      Good Call!

  5. blue_eyed_devil | Mar 25, 2005 03:14pm | #9

    On this one I'm thinking, I won't be able to markup any subs so I was thinking of charging a basic weekly fee to be on the job to cover myself and what I could be earning on a "full-service" job completely on my own. Any materials that I procure would be charged cost plus markup, say 15%, but depending on what I work out to be my weekly fee.  I think the architect may be wanting some big number from me to cover all my required areas of work: demo, carpentry etc.  ......but I need to be comp'd for overseeing the whole thing, I'm the guy in the trenches with the cell phone and keeping things together.  Also, some installs and tasks are yet to be assigned to subs and may fall in my lap so I want to be covered for these things and be available on an as-needed basis to prove myself handy to have around.

    I would call the architect and tell him exactly what you just told us. Then, hammer out an equitable agreement.

    blue

    Just because you can, doesn't mean you should!

    Warning! Be cautious when taking any framing advice from me. There are some in here who think I'm a hackmeister...they might be right! Of course, they might be wrong too!

    1. VintageSeattle | Mar 25, 2005 03:51pm | #11

      .....thanks Blue, simple, I like that, appreciate your input, I know from occasional lurking that you have a damn good head for biz...

      on my response to Danno, the only thing that is vague on the weekly sum idea is that I can't quite figure out how to estimate what things I will do my self (assuming framing, trim carpentry, window installs) and then any extra labor I might bring in for demo, Nuheat mat install under cork floor....some of the jobs that aren't clearly parcelled out to others....

      ....also thinking of billing for materials, bit by bit, separate from the weekly sum, @ cost would be ok, if the weekly sum covers me sufficiently.

      I know that I need to be clear on what tasks I would do, or be able to, with the time available, and then other things that would require extra labor.... this is what gets vague to me, on how to negotiate this point into the deal.

      BG 

      1. davidmeiland | Mar 27, 2005 05:25pm | #32

        I was thinking about this a little more. At a big company I used to work for, we'd put together detailed estimates for jobs and then sit down and go thru them in a production meeting. We always shot for about 12% of total cost as "Supervision". Supervision includes two things--the project manager's time, and the lead carpenter's time spent supervising. The lead carpenter also swings a hammer, and that's not supervision, but probably 2-3 hours per day would be supervision. The PM (in the office) would be running 5 jobs at a time, and if they're all about the same size, then 8 hours per week would be supervision.

        Architects and owners we dealt with expected supervision in this range, and knowing the owner of the company I worked for, it's probably a typical range for large remodeling jobs.

        I didn't go back and re-read your proposed involvement in the job, but what percent supervision did you come up with? You have to distinguish between actual production you will do, and time spent dealing with subs, owner, inspectors, etc. Things like layout, material orders, etc. are production.

        1. blue_eyed_devil | Mar 27, 2005 05:50pm | #33

          Excellent post David!

          I'm going to remember that 12% number and start analyzing it to see if it fits our business.

          The best thing about your post is that it makes sense. You can explain it logically to the person paying the bills. If it makes sense, they won't object to paying for it.

          blueJust because you can, doesn't mean you should!

          Warning! Be cautious when taking any framing advice from me. There are some in here who think I'm a hackmeister...they might be right! Of course, they might be wrong too!

  6. joeh | Mar 25, 2005 07:47pm | #19

    Something doesn't add up here?

    I'm thinking this is a $120k plus remodel by the way.

    From one of your later posts:

    60/hr on a week-by-week basis for, say based on 45 hours a week,

    And you figure this is a 3 month (or more) Job?

    $60 x 45 hours a week x 12 weeks = $32,400 in wages to you.

    Probably safe to assume the Archy is paying himself a reasonable fee also.

    How does this compute with the $120,000 total?

    Joe H

    1. VintageSeattle | Mar 25, 2005 07:57pm | #20

      sorry for the confusion Joe, and thanks for your input....

      the other subs and materials aren't figured in on the possible $32 for me:

      cabs and install.........counters and install.........windows

      elec., plumb, tile setting,

      all materials

      etc.

       

        

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