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Advice from Contractors:

Two Sides of the Same Coin?

By Bill Alexander

Bill Alexander *

The Homeowner's Side
It's every homeowner's worst nightmare. You scrimp and save for that special home construction project, and an architect miraculously converts your dream project to blueprints. Then you promptly go out and hire a general contractor who turns out to be at best incompetent and at worst a thief. You spend the next six months living in hell and wondering whether you can survive the project without ending up in court.
Unfortunately, it's typically very easy for anyone (qualified or unqualified) to go into business as a general contractor or specialty contractor. This ease of access to the market sets the stage for unscrupulous businesspeople to victimize novice consumers of construction services.

The Contractor's Side
It is every contractor's worst nightmare. You spend years in the field perfecting your craft and decide it's time to go into business and make your mark in the construction industry. Through years of hard work as a small businessman, you build a reputation for quality projects and personal integrity. You are then contacted by homeowners who pick your brain for good ideas and then shop those ideas to the lowest bidder.
Or what's worse, homeowners hire you to perform work for which they haven't adequate funding, or for which they never intended to pay in the first place. The contractor, despite performing to the letter of the plans and contract, must either settle for 50 cents on the dollar or, at worst, is forced into bankruptcy.
Unfortunately, it's difficult for most general contractors to prequalify their potential clients and determine if they are reputable people who pay their bills and work to avoid litigation. Given the sheer number of contractors in the marketplace, it's possible for unscrupulous homeowners to victimize numerous general contractors in this manner and never get taken to task for their actions.

Working Together
Hmmm ... Sounds like two sides of the same coin. How do you avoid these problems, whether you are an unsuspecting homeowner or a reputable contractor?
I suggest treating any relationship between the homeowner and contractor as a relationship between professionals. Why shouldn't the homeowner pay for the preconstruction services of a general contractor in the same way that the homeowner pays for the preconstruction services of an architect?
Treating the preconstruction services of a project similarly to those performed during the actual construction phase gives both the homeowner and the contractor an opportunity to work with one another before construction is begun. It provides an opportunity for both parties to find out the following valuable information:

Can they work with the individual on a personal and professional basis? Are the contractor's or homeowner's personal or professional habits such that you could never work with that person under any circumstance?
What is the quality of written and verbal communications from this person? Are the homeowner's or contractor's verbal communications confusing and contradictory? Are written communications incomplete and sloppy?
Does the person do what he or she promises? Did the contractor get the bid to you when promised and with the information requested? Is this homeowner going to work with the general contractor, or only interested plagiarizing the contractor's best ideas for use by another contractor? If this homeowner chooses not to work with the general contractor, will he or she pay for the preconstruction services as promised?

From the homeowner's perspective, here's a chance to try out the contractor before the contractor ever sets foot inside the home to do work. If John and Susie Homeowner don't like what they see before construction begins, it's a good bet they won't like the contractor any better once the work has actually begun.
From the contractor's perspective, if the homeowner is confused, contradictory, argumentative, or refuses to pay the bill for the preconstruction services rendered, it's a good bet the homeowner will only be more contradictory, confused, argumentative, and a deadbeat once the construction work begins.

Profile:
Bill Alexander * As a principal in Edifice Construction in Seattle, Bill Alexander has worked on major residential and commercial projects, as well as tenant improvements. He directs Edifice's sales and marketing efforts and is often responsible for ongoing client communication. With more than 25 years of experience in the industry, Bill is highly qualified to manage all phases of a construction project. Having first gained valuable perspective as a carpenter and project superintendent, he has hands-on experience with construction means and methodology.

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Two Sides of the Same Coin?

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