1. Not Doing Research
Hiring a contractor can be complex. It is important to check their experience, credentials, references, licenses, and performance. Remain organized and informed to be successful.
BBB Business Profiles organize contractor reviews, star ratings, complaints, phots, and videos. They also list how many years the business has been in operation. Use the BBB Business Directory to view the profiles of local contractors in your area. You can filter your results by several criteria, such as viewing only BBB Accredited Businesses.
2. Not Checking Licenses, Insurance, or Permits
Don’t be held liable (or sued) for an accident on the job site. You don’t want your project to get shut down for not having a permit. You want hazardous materials or substances to be handled safely, for example.
Across different states, provinces, and regions, general contractors are required to maintain certain license, permits, and certifications. For some specialized trades, this can extend to certifications to handle hazardous materials like mold, asbestos, or waste products. Anyone you work with should be up to date on their insurance and certifications and secure the necessary work permits before hammers fly.
3. Not Hiring a Designer or Architect
Sure, you have the vision for your home renovation, and your contractor has the know-how to tackle the work, but a designer or architect’s expertise could be critical.
Projects involving entire room remodels, re-imagined floor plans, elevations, and additions require professional insight. These professionals provide valuable information regarding the project’s aesthetic, functionality, and structural integrity. They’ll also work with you to add the personal touch that fits your aesthetic, scope, and budget.
4. Not Hiring a Professional
In some cases, simple home improvement tasks can absolutely be tackled by you and the people you know.
But consider carefully before trusting a friend or family member to take on a project best handled by a professional. Their work could have a negative impact on your relationship if you have a bad experience.
When you hire a general contractor who is experienced, licensed, and insured, you are better protected if something goes wrong.
5. Not Gathering Multiple Bids
Be smart by comparing your top candidates’ services, quotes, and skill sets.
Evaluate the advantages and disadvantages of the firms you are thinking about. This will help you make a knowledgeable decision.
6. Not Having a Signed Contract
For deadlines, scope of work, warranties, materials, payment terms and beyond, you can always go back to this document. Even when a project is completed, keep your contract and any relevant receipts, plans, or paperwork should you need to reference them in case disputes or misunderstandings arise.
More Information: Cost-Plus Pricing vs Fixed-Bid Contracts
7. Not Paying Responsibly.
If a contractor only accepts cash and doesn’t give a receipt, that’s a huge red flag. Just like having a contract in hand, having an official transaction history is essential.
When you pay with cash, there is no paper trail. Instead, use checks or credit cards to track your project expenses for tax purposes, contract, or spending disputes, and even fraud investigations.
And always get a receipt for payment, of course.
Similarly, if a contractor wants payment in full up front, that leaves you in a vulnerable position if the project goes off the rails. Choose a payment plan that lets you review the work as it progresses and after it’s finished.
8. Not Considering More Than the Price Tag
While price is important, paying lower prices might result in poor craftsmanship, cheap materials, and ultimately, a bad end result. Consider all angles – especially regarding things like reputation, experience, and communication – when making big decisions.
9. Not Communicating Well
Responsiveness is one of the main ingredients in a trustworthy relationship; that’s why it’s included in BBB’s Standards for Trust.
Pay careful attention to the communication habits of your candidates during the interview process, and be upfront about your communication needs as you explore what it will be like working with them.
When a contractor is genuine, open, and communicative with you, they prioritize your trust, paving the way for a smoother project experience.
Hug Construction prides itself on its commitment to Clear Communication by utilizing Buildertrend, the industry-standard cloud system. Clients can log into Hug’s Buildertrend system by clicking the Client Log In link in their website’s navigation. Watch Hug’s Buildertrend tutorial for more information about this valuable resource.
10. Not Having an Emergency Budget
You’ve heard the stories: “We needed to hire asbestos removal experts.” Or: “We didn’t know we’d need to install a load-bearing steel beam!”
Your project scope is always susceptible to things that are just out of your control. Get peace of mind by creating an emergency fund for these unforeseen circumstances.
