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What Are Subcontractors in the Construction Industry?
Subcontractors in construction are professionals who provide specialist services on a contract basis. They offer strong skill sets – and without needing to be hired as hourly employees.
You can think of a general contractor as a talent agent and a subcontractor (Subcon) as the talent. For a general contractor to continue to grow company operations, new construction projects must be taken on. And, of course, a single contractor cannot feasibly perform all aspects of a complex project alone.
A general contractor typically uses the services of multiple subcontractors on any given project. For example, a new home build requires the services of various types of subcontractors, including:
- Siding
- Roofing
- Drywall
- Framing
- Flooring
- Painting
- Masonry
- Excavation
- Landscaping
While a general contractor should possess an overall understanding of all facets of a given project, subcontractors typically specialize in a certain field – like roofing, siding, framing, electrical, HVAC, etc.
Because they are specialists who perform the same services over and over, independent subcontractors can often complete assigned tasks better than the general could.
In fact, that’s sort of the entire point: allowing the general contractor to focus on project bidding, job procurement, project management, ordering materials, payroll, and customer service.
Benefits of Using Subcontractors
There are loads of solid benefits linked to subcontracting out different elements of construction projects. Understand that general contractors are typically not the people on job sites swinging hammers, running saws, and climbing ladders, although they may well be capable.
Instead, general contractors spend their time engineering and selling projects, pulling permits, satisfying legal requirements, and yes, hiring and managing subcontractors. When a general develops long-term relationships with well-vetted and dependable subcos, he or she enjoys:
- Sending a professional with proper resources to complete tasks
- Knowing that the subco will provide top-notch service and customer care
- Not having to pay insurance, healthcare, and other employee-related expenses
A professional subcontractor has a direct stake in the general contractor’s success. The subco wants to ensure prompt, excellent quality so that the project can progress – and so he can get paid! This is a huge factor in helping to ensure excellent results that will pass all required local and state inspections.
As the relationship between a general contractor and a subcontractor progresses, they will hone their processes to achieve more efficient, profitable results on every project. This long-term cooperation is mutually beneficial for the general and the subco – and it also works in direct favor of the homeowner.
Multi-M Contracting, Inc | General Contractor in Tukwila, Washington
Multi-M Contracting, Inc., is an established general contracting company serving the greater Seattle region, including East Renton Highlands. Our friendly and helpful professionals specialize in Commercial Construction, Commercial Renovation, New Home Builds, Land Development, and Full-Service Design & Building. Call us at (303) 798-6764 or Visit Us Online today.
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10 Commercial Development Tips
When you’re in the business of developing and planning commercial property, there are several key areas of concern to keep in mind at all times. Before you begin work preparing your next commercial project, keep the following points in mind to help you obtain the best possible outcome.
1. Zoning Restrictions
Always be mindful of zoning restrictions. This is the number one project killer, considering zoning laws make or break your entire process.
2. Utilities
Check the availability of utilities in your project area. You’ll need access to all the major amenities – lights, gas, water, and even trash pickup.
3. Subdivision
Is the site required by the county to be divided or combined? It’s important that you know whether you’ll need a platted lot to complete the project.
4. Historic Area
Is the area designated as historical or off-limits to any construction? If the plot has a significant history within the county/city, the chances are high that no building is allowed or certain restrictions exist.
5. Impact Fees
Most locations require impact fees. This covers water, sewer, and roadway use. Sometimes it’s covered in the building permit fee, but you must be sure before moving forward.
6. Detention/Stormwater
If the area is prone to issues with flooding because of stormwater, you’ll need to build something to mitigate the issues.
7. Landscaping
What type of landscaping will you have on the property? Plan accordingly.
8. Driveways
Plan your access routes to the property before starting major construction.
9. Wetlands
Is the area built on wetlands or any type of floodplain? This is important for the safety of the property.
10. Additional Restrictions
Check with the courts or other pertinent locations to find information about the deed or any potential restrictions that could hamper the development.
There’s no perfect process for moving forward with commercial development. However, following the above tips will certainly increase your odds of a successful project.
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Do You Need a Pre-Construction Agreement Before Building Your Home?
A pre-construction agreement to build your new home construction in Tukwila is essential to the successful building of your custom-built home.
When you work with a reputable contractor, you will understand the importance of negotiating a pre-construction agreement. This will establish what the parameters of your building project are, and who is responsible for meeting and of the needs identified as part of the project.
Building a custom home requires planning, designing, and decision-making, most of which need to be worked out before the construction even begins.
When you sign a pre-construction agreement, you will have a better understanding of what to expect during the construction process. You will be able to harness the expertise of your contractor and avoid potential issues when your general contractor is part of the planning for your new home.
The pre-construction agreement gives your general contractor the authority they need to collaborate on decision-making and will allow you to have the professional oversight of your new home construction you want when making such an investment. With the pre-construction contract in place, you will know what you are responsible for, and what the timeline for construction is going to look like.
A pre-construction contract is a binding agreement, and gets your design ideas off the ground, into reality. When you want to build a customized home from design concept to finished project a pre-construction contract is a necessary element to a successful project.
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Contractor Payment Schedules for a Commercial Project
Commercial construction contractors can offer different payment schedules depending on how long the project will take and the scope of the commercial renovation or new structure. The payment timeline helps break up the project costs at regular intervals or according to a predetermined schedule.
Some contractors will create their own repayment schedules. But, more commonly, commercial projects pay at certain milestones achieved, or smaller projects may follow the Net 10 30 60 payment schedule which is due at certain times.
Net 10, 30, and 60 Explained
This payment method should be clearly detailed in the commercial construction project contract, which details when the contractor will be issuing an invoice to the client. Simply speaking, a Net 10, 30, or 60 payment schedule is the percentage of the project cost that is due in 10, 30, or 60 days from the date of the invoice.
These predetermined payment schedules help the contractor make sure all vendors and subcontractors are also paid in a timely manner.
Construction Milestone Payments
A milestone payment schedule is often used for larger commercial projects such as new buildings or commercial renovations that involve a significant amount of work. The construction contract will detail certain control points or milestones in which a key project deliverable should be completed – such as steel erection or interior finish.
At each phase or milestone, that portion of the project is reviewed, and payment is due if all work is approved. Between major milestone payments, there may also be intermediate payments to keep subcontractors paid or for material and equipment procurement.
It is important to keep track of the payments due for a commercial construction project. Late payments can throw projects off track and may delay the completion date of your commercial building.
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East Renton Highlands, Washington
East Renton Highlands, WA, 98059, is an upscale neighborhood in King County, Washington, United States. Newcastle is located to the north, Fairwood to the south, Bryn Mawr to the west, and the Tiger Mountain State Forest to the east.
Typical real estate and homes for sale on Zillow in this area range in price from $550,000 – $850,000, with some selling for millions. Beautiful scenery, pleasant weather, low crime, and friendly people make East Renton Highlands a lovely place to live, work, and raise a family.
If you’re searching for apartments for rent in East Renton Highlands, be prepared to pay more than $4,000 monthly, and be sure that 2022 rentals are few and far between in this high-profile city.
There are loads of restaurants, trails, parks, and other gorgeous places to enjoy in and around Renton. There are also plenty of distant and local jobs hiring in various sectors. According to the 2022 census, the population in East Renton, Highlands, WA, was just over 12,100.
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