A
general contractor is
responsible for the day-to-day
oversight of the construction
site, and management of vendors
and trades. In addition, keep
communication between the general
contractor and the involved
parties open and clear throughout
the course of project.
Before
starting a job, the general
contractor must first visit and
then assess the site. As a result
of this, a price also called an ‘’estimate’’.
The
general contractor considers the
cost of materials, equipment as
well as the cost of labor to
provide the owner with an
approximate price for the project.
In
these contract documents, the
contract agreement includes
budget, the general and special
conditions and the plans and
specification of the project that
are prepared by a design
professional such as an architect.
Responsibilities
A
general contractor is responsible
for providing all of the material,
labor, equipment, (engineering
vehicles and tools) and
services necessary for the
construction of the project. In
order for the general contractor
to get these tasks done, is by
hiring more specialized
subcontractors to perform certain
portions or even all of the
construction work.
Depending
on the size of a project, the
following responsibilities may
include:
• Filing for building
permits,
• Securing the
property,
• Providing temporary
utilities on site
• Managing personnel
on site
• Providing site
surveying and engineering
• Disposing/Recycling
of construction waste
•Monitoring schedules
and cash flows
• Maintaining
accurate records as construction
progress
History
In
the United Kingdom and certain
former British
Commonwealth countries
the term 'general contractor' was
gradually superseded by 'main
contractor' during the early
twentieth century. This followed
the practice of major
professional, trade and consumer
organizations issuing standard
forms of contract for undertaking
the variety of construction works
spanning the whole spectrum of the
industry. It was and is usual for
the term main contractor to be
used and defined in all these
contract documents, and as a
result the term general contractor
became an anachronism.
General
contractors that conduct work for
government agencies are typically
referred to as prime contractors.
Requirements
for Licensing
There
are no set educational
requirements to become a general
contractor, although most
employers do prefer that you have
a bachelor's degree. Some general
contractors obtain bachelor's
degrees in construction science,
building science, surveying,
construction safety etc.
General
contractors usually start out as
regular construction workers.
While gaining work experience,
they learn about different aspects
of construction, including
masonry, carpentry, framing and
plumbing. Aspiring general
contractors network with
subcontractors and may learn the
management skills they need to run
their own company.
Depending
on the state, the requirements
will vary from passing a written
exam on topics such as contracting
and construction law or require a
bachelor's degree for licensing.
Also, experience in the
construction industry as well as
references from customers,
business partners or former
employers are demanded. Some
states go as far as requiring
candidates to prove financing to
own their own general contracting
firm.
General
contractors often run their own
business. They hire subcontractors
to complete specialized
construction work and may manage a
team of plumbers, electricians,
builders, carpenters and other
specialists. General contractors
build their business by networking
with potential clients, buying
basic construction tools and
ensuring that their subcontractors
complete high-quality work.
General contractors don't usually
complete much construction work
themselves, but they should remain
familiar with construction
techniques so they can manage
workers effectively.
Because
general contractors are usually at
the top of the employment line the
only benefits are the ones that
they buy themselves. However, if
the general contractor works under
a company, getting heath insurance
is a plus.Because the jobs vary in
complexity, they get paid by the
job. Also, some materials cost
more than others. For example,
tiling a bathroom will cost more
than putting siding on a house.
Advantages
One
of the biggest advantages is being
your own boss, as a contractor you
are not required to accept work
from a client. You have the
freedom to pick and choose your
contracts which can result in
having a great work variation.
Contractors usually take projects
that last 3, 6, or 12 months, in
duration, to gain a wealth of
experience.
Disadvantages
If
you own your own business which is
common in general contracting,
then you must supply yourself and
your employees with some health
benefits. In addition, taking any
paid vacation because you get paid
at the end of a job which leads to
another problem which is not
getting paid. Luckily, if the
owner doesn’t want to pay you,
then filing a contractor’s
‘’lien’’ can help secure payment.
As
a service
Most
contractors are required to be
licensed in every state and may be
required to take an oral and
written exam. License requirements
and coverage vary by state, and
may cover those who contract, bid,
negotiate a price or offer to
construct, supervise, oversee,
direct, alter, repair, install,
improve, move, demolish,
furnishing labour, etc. Various
types of contractor include
building (residential and
commercial), electrical, plumbing,
mechanical, highway, and
environmental remediation.
As
an owner
Occasionally
the entity commissioning the
construction of the building
chooses to act as the general
contractor. In such cases, they
work directly with the
subcontractors and take care of
the administration and
organization of the various
subcontractors.
Under
these conditions the owner takes
on all liability for proper
sequencing of the work, and
dealing with the realities of
construction.
Contractors
will acknowledge this with their
cooperation. Owners seldom have
this advantage, and most
subcontractors will recognize the
risk of working with a one time
client with higher bids.
As
an alternative, the owner builder
approach to building its own
residence can have risks and
benefits. As a novice in the
business, the owner builder is
vulnerable to a number of common
mistakes such as overbuilding the
neighborhood, exposure to
liabilities, lack of subcontractor
management skills, and others.
Subcontractor loyalty and
discounted prices to general
contractor are not a rule at all.
As the economy worsens, and many
builders struggle to find work,
the owner builder can pick the
best talent at the price that is
only limited to his or her
negotiating skills.
As
a business owner
Main article: Independent
contractor
For
legal reasons it can be easier to
hire and also release a contractor
compared to an employee
that has Permanent employment.
Large numbers of business owners
choose to hire contractors because
of uncertainty within their
business or have constraints such
as maternity, illness or other
legal factors which entail that
hiring a permanent employee is not
a feasible option.
General
contractor example
An
owner or real estate developer
would develop a program of their
needs and select a site (often
with an architect). The Architect
assembles a design team of
consulting engineers
and other experts to design the
building and specify the building
systems to meet those needs. Today
contractors frequently participate
in the design team effort by
providing pre-design services
where they will help in providing
more accurate estimation of budget
and scheduling during design to
improve the over-all economy of
the project. Otherwise the general
contractor is hired just to build
the building(s) at the close of
the design phase. The owner,
architect, and general contractor
work closely together to meet
deadlines and budget. The general
contractor then works with subcontractors
to ensure quality standards in
addition to timeline and budget.
Often there will be disagreements
between the contractor and the
architect over style vs. function.
These arguments may lead to
lawsuits which can potentially
prolong or even stop a project.
