If you are fortunate enough to be working on some big projects—especially in areas like construction or innovation and development—you may need to hire subcontractors to provide services in their area of specialty. As the business owner or project manager (or both), it is your job to make sure that everyone understands their jobs, as well as all the details of the project.
Here are four tips for avoiding disputes along the way:
- Make sure the initial meeting is thorough – this is not the time to be flying by the seat of your pants. This should be an organized, energetic meeting. If possible, have information packets made up for everyone in attendance and go over each point of the project, discussing timeframe and penalties for absences or holding up the project. If necessary, provide overhead visuals. Allow plenty of time for questions and further discussion. Keep in mind that this should not be the only meeting; they should probably be held at least once a week, with the project manager (or someone in their stead) attending and leading.
- Build a comprehensive statement of work– the project scope is extremely important for spelling out the responsibility of everyone involved, as well as outlining exactly what you are producing for the client, and how. The statement of work is also necessary to provide to clients, so they understand exactly what will be happening during the project, along with the all the details they should be agreeing to.
- Draw up a contract for each subcontractor – this should be specific regarding their scope of work, when the job begins and ends, what materials are to be used, and what the pay will be and at what intervals it will be provided. Discuss additional pay in the case that changes are required.
- Be firm about deadlines from the start – timeframe should be established from the outset, along with the agreement that everyone understands their role in their project and when that is to happen. Because your reputation is on the line with the client, deadlines are one of the most important elements. No one likes a project that drags out forever, and subcontractors who don’t show up to work can delay everyone, along with other work they may have committed to afterward.
More importantly, be a good manager or boss to all the subcontractors working for you. They should be provided with safe conditions to work in, clear communication, and timely pay.
Do you have questions about working with subcontractors, or resolving a dispute? If so, contact Attorney Shane Coons. Our law office represents clients involved in a wide range of businesses and legal issues, and we would be glad to review your case and help you explore your options.
Call now at 949-333-0900 or email us at Shane.Coons@seclawoffices.com.