Contracting

[Dan F]

I know, the title is similiar to a few others, but I think my question is a little different...

We are attempting to win a contract for a landscape install at a new Home Depot (I know, not tree work, but...). We will be using subs to install the irrigation and the finish grading and seeding.

This is the first time we have needed to use subs, and I was hoping some of you who use subs (or are subs yourself) could help to fill me in on what kind of paperwork, etc., should be involved.

Obviously they need to be insured, and be qualified. Both businesses have been in operation for a long time, and I have worked with both at a prior employer. What kinds of things need to be in our contract with them? What kind of accounting nightmares should we expect?

We have gotten bids from them for their part of the job, we have our part figured out too. We have marked up their part by ~10% to cover our managing and paperwork costs and pull in some easy money too.

As subs, what kinds of things do you expect the contractor to do for you (besides write you a check)?

As a contractor, what kind of things do you do for subs?

I'm a little new at the project managing from this seat, so any and all help will be apprieciated! I know this isn't about tree care in particular, but I figure it may help others out there with these questions....

TIA!


Dan

 

[Bills Oak]

Subs

Hello--when working with subs be absolutely sure that they have current Liability Insurance & Workers Comp Insurance---Also get copies of their Drivers Licenses!---If nothing else this will keep them honest--I know it sounds like a lot of hassle but it might save you from being in trouble down the road if someone gets hurt & or steals something, etc.--If somebody wants to sue someone they will go to the guy with the contract for work--YOU!

 

[John Paul Sanborn]

Any sub doning any digging is responsible for location services.

If location time windosw have timed out, the sub shall have location rechecked to ensure markers have not been mooved.

If the subcontractor damages utilities by failing to hav elocation donr, or violates location boundries, the sub will be solelly responsible for all damamges.

have a lawyer write it up of course. Any binding contract should be reviewed by contract law councel

 

[Dan F]

The bid was submitted around noon today! Now all we have to do is sit and wait. And work on other jobs too....

Anyway, about the prior comments, they are all apprieciated!

I have worked with both subs with a previous employer and I trust them wholly to do what they have bid. I'm not worried about them thieving anything, more like the locals making things sprout legs....

*IF* we are awarded the contract, I would imagine our first call will be to our attorney to have him start drawing up contracts for us to use with our subs. I figure we will need our contract before theirs can be finalized. I think we will probably call some people in our area who have worked with similiar projects to get their thoughts too.

Brian- I'm not too worried about scheduling. When the site becomes available, I think everyone realizes that we will be pressed for time to get seed on the ground in time for germination. Irrigation has to go in first, however, there is a *LOT* of grading that can be done outside of the irrigated areas. Once irrigation is complete, those areas will be graded and seeded. After that is done, it will be a couple of weeks before we have trees available, so everyone should be done and out of there by the time we start planting. I know it will be headaches at times, but I don't think it could get any simpler than it should be.

JPS- I hadn't thought about the utilities yet. I'm glad you brought that up, it will be in the contract!

Bills- Hopefully if someone gets sued, it will be the general contractor and not us! We will be sure to get insurance certificates though.

Thanks all! Any more thoughts on this?


Dan

 

[geofore]

orange box

Makes me think of the orange box here where the oak trees that were planted are trimmed (topped) to look like lollipops, don't want them for shade or to grow up to be big trees, need them to look like a homeowner can do this with a ladder. Is 10% enough? I don't think so, it works if everything goes right and that is not the case most times. You need to get a few jobs under your belt at 10% to see this for yourself. Good Luck on this one going right the first time. Time the work so the subs are not falling over one another trying to get done, if two subs can work so they are not working in the others space it goes faster.

 

[Dan F]

That's the plan. There's about 12 acres of seeding that needs to be done.

This is the first orange box in our area, we'll see what it looks like in 10-20 years. Doing the install gets us a foot in the door for maintenance, which will allow us to control what things look like.

We marked up the seeding 10% and the irrigation 12% to allow for any changes the irrigation contractor might have once he gets on site. It's too late to mark up more now though!


Dan

 

[TREETX]

I have a family friend that does a lot of these jobs for Home Depots, Walmarts, etc.

If you got awarded the job, you were the lowest bidder. That should say something. If you get the maint contract, you will have to be the lowest bidder AGAIN.

He said he only makes money on "add ons" to the original plans. That means the trick is reading a plan and estimating what details they left out. He said you have to really hook it in their a$$ with the add ons. They understand the game and will hook it to you given the chance.

Having all of your materials delivered to SITE in a timely manner can make/break you.

Do a good job here and you will have to be lowest bidder on the next one too. That is what I hate.

Good luck - there is money to be made here, just CYA!!

.02