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Contractors

General contractor, or just a contractor, is in charge of getting the job done on a construction site. They are responsible for managing suppliers as well as trades, and a contractor also represents the communication center for all the parties that are a part of the project. Their responsibility is to coordinate the project, and that means that they have to have the access to project documents or they have to do the assessment of the site, when it comes to projects that include renovation. Most of the contractors have fixed price bids, but they can also offer a cost with the addition of price contracts.They take everything into consideration: material costs, cost of the needed equipment, office, as well as the price of labor.

The contractor's job is to provide the material, equipment, labor, and services, which are necessary for the completion of the project. If the project is too big for them, they will hire subcontractors, which will finish the part of the project the general contractor can’t. Furthermore, their job is to provide all the necessary permits, all the utilities that will temporarily be used on-site, to secure the property, and manage the required personnel.They have to keep accurate records of the money used for the project.

Subcontractors

A subcontractor is an individual or a company who is hired by a contractor. Let us explain:

- A contractor makes a contract for building a house.

- The contractor hires Company 1 to finish the roof, and Company 2 to finish the walls.

- Company 1 and 2 are subcontractors.

The contractor works for the client that needs the project to be done, while the subcontractors work for the contractor. Basically, subcontractors will finish, if not the whole job, then a large part of it.Usually, subcontractors are not seen as the contractor’s employees of the contractor, mostly they are considered as independent contractors. Depending on the agreed contract with the general contractor,they can also be in charge of providing equipment as well as the materials needed for the job that they responsible for. To make it more simple, the contractor is the boss, and the subcontractors are his workers.

Subcontractors are usually skilled in a certain area of the field, and that ensures the client that their part of the project will be finished, highly professional and fast.Having subcontractors as a part of the project brings a lot of benefits for the general contractors, such as lowering the risk in the project as well as lowered cost of the whole project.

In order to finish the project successfully, the contractors and subcontractors work closely. The contractor is the brain of the operation, and is the “communication center” for the client and subcontractors,while the subcontractors are there to get the job done.
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