The Quick Guide to Lump Sum Contracts for Contractors
In a lump sum contract, a price is presented to the owner to complete the project for a fixed amount — no more or less. All labor, material, subcontractors, and equipment costs are included in this fixed price and you, as the contractor, are not required to perform any additional work beyond the originally agreed upon scope of work.
A Guide to the 8 Types of Construction Contracts
As construction projects vary in terms of scope, delivery, schedule, budget, and the parties involved, there isn’t a one-size-fits-all approach to contracts between owners and general contractors. Using the right contract for the right kind of project is critical to ensuring you stay profitable.
How to Write an Effective Scope of Work for Construction Projects
The scope of work serves as a roadmap for the project, ensuring that everyone involved has a clear understanding of their responsibilities and the project’s objectives.
A Short Guide to Construction Allowances
In the dynamic, always changing world of construction, being able to quickly adapt and land on your feet financially is crucial. Setting up contingency in your contracts can help you do exactly that. The point of construction contingency is to give your budget some wiggle room if costs end up being higher than you originally anticipated. When bad weather strikes or material costs suddenly skyrocket, contingency can help protect you.
Construction RFIs – Asking the Right Questions to Save the Schedule and Protect Profit
In its simplest form, an RFI is little more than a formalized question that the general contractor or a subcontractor asks the designer. However, RFIs are an extremely important administrative tool that can be used in a variety of ways.
What is Contingency in Construction?
In the dynamic, always changing world of construction, being able to quickly adapt and land on your feet financially is crucial. Setting up contingency in your contracts can help you do exactly that. The point of construction contingency is to give your budget some wiggle room if costs end up being higher than you originally anticipated. When bad weather strikes or material costs suddenly skyrocket, contingency can help protect you.
What Construction Contractors Need to Know About Certified Payroll
Certified payroll is part of the requirements set out in the Davis-Bacon act and is intended to make sure workers are getting paid fair wages. It requires a regular (most often weekly) report to be sent to the owner to prove how the funds were used and that workers were compensated fairly.
Payroll Basics for Construction Contractors
Labor represents the largest expense for many construction companies, so it pays to have an efficient payroll system to manage the complexities involved. In this quick guide, we’ll outline the best practices for gathering payroll data, calculating withholdings, paying taxes and filing payroll.
What to Do if You Can’t Make Payroll
As soon as you know or even think you can’t make payroll, you need to start getting backup options in place. Even better, it’s good to know your options and prepare yourself before you’re down to the wire.
How to Effectively Manage Construction Sites at Night
Performing construction work at night can be necessary to get a job done, but it also makes an already complicated and risky line of work even more so.
Recent Articles
Risk Management in Construction — It’s Everyone’s Problem
It’s easy to see the stakes for both owners and contractors. For owners, it’s the budget and schedule that are always at risk. For GCs and speciality contractors, good risk management is simply a matter of survival. Effective financial risk management is a necessity, especially when you consider the state of construction today.
How the Construction Procurement Process Works
From small home renovations to 20-story skyscrapers, every successful project is the culmination of dozens of different puzzle pieces. Procurement is how you bring these pieces together. Also known as the buying process, construction procurement is the process of contracting for any labor, materials, or equipment needed to effectively complete a job.
How to Write Successful Construction RFIs
A well-scripted RFI can have a massive impact on the success of a construction project, both from a cost and schedule standpoint.
How to Use Value Engineering in Construction for More Successful Projects
Value engineering is the practice of increasing the value realized from a construction project. That could mean finding an alternative permanent material or product that has higher quality and will make the end result last longer, providing a substitute material or design idea that meets the same quality standards for a lower cost, or developing alternative means and methods for constructing the design that reduces the overall construction costs.
The Quick Guide to Lump Sum Contracts for Contractors
In a lump sum contract, a price is presented to the owner to complete the project for a fixed amount — no more or less. All labor, material, subcontractors, and equipment costs are included in this fixed price and you, as the contractor, are not required to perform any additional work beyond the originally agreed upon scope of work.
A Guide to the 8 Types of Construction Contracts
As construction projects vary in terms of scope, delivery, schedule, budget, and the parties involved, there isn’t a one-size-fits-all approach to contracts between owners and general contractors. Using the right contract for the right kind of project is critical to ensuring you stay profitable.