Posted by Mark Paskell on Tue, Mar 25, 2008 @ 04:35 PM
I got a call today from a homeowner looking for some guidance on a problem with product they bought from a wholesaler that was installed by their contractor. The homeowner bought a whirlpool tub that was installed into a custom base and then the plumber installed the drains and other items neccessary. The rough wiring was installed. The tile was installed around the perimeter, the faucets were installed and the last item to wrap up was the final electrical connections. When the electrical was connected there was a problem with the motor and factory wiring of the unit. Turns out the motor and wiring would not work and was defective.
The homeowner asked the contractor to fix the problem. The contractor said it will cost more money to fix it because the homeowner supplied a defective product. The homeowner told the contractor that was not acceptable and an argument ensued. The contractor said if you paid me to supply the product I would have to fix it for free but since you (the homeowner) supplied it you are responsible to pay me to remove and reinstall it, replumb it and rewire it or you can have the wholesale supplier pay for the repairs.
The homeowner called the wholesale supplier who said it must be the contractor who broke it. Sounds like alot of finger pointing going on here.
If a homeowner wants to save money and supply products to be installed by a contractor most contractors will not warranty products they did not supply for the job. A contractor who supplies material and labor has to back them up for a one year period. The amount for carrying this risk is the small difference between the contractor price and the homeowner price. Usually the savings are only 10 to 20% of the cost of the unit.
If you are going to supply products to be installed by a contractor make sure you know the risks associated with supplying those products. Who will be responsible if the product is defective? Sometimes the savings you get buying wholesale may not be worth it if you receive a defective product. The cost to repair this item will be more than 10 times the savings the homeowner received buying the unit wholesale. Was it worth it?
Mark
Posted by Mark Paskell on Sun, Mar 23, 2008 @ 04:34 PM
In today’s challenging economy consumers are faced with the task of deciding if they should hire the one man show or the larger more established contracting companies. The money that can be saved hiring the smaller contractor can be very attractive. Smaller companies tend to have little overhead often working out of their home. Also they are usually the chief cook and bottle washer of the company. They sell, manage, install and service their work. If they need help they usually hire as needed. The advantages are significant savings on price and the man hired is usually the installer you bought the job from. The disadvantages are the project will usually take much longer and if something happens to the one man contractor the consumer usually ends up with an unfinished project having to be redone. The ultimate cost may exceed the cost of hiring the established contractor in the first place.
The larger more established remodeling contractor will usually have a place of business other than his home. They will rely on systems and best practices in the industry. Their people will be trained on how to deliver the remodeling service. Projects will be managed and systematically produced in a shorter amount of time than the smaller one man company. If something happens to a carpenter working on the job the established firm will have a backup in place. In the beginning it will appear that this contractor will cost more than the one man show. However, just think what happens to the homeowner who hires the small one man contractor who underbids the job, can’t finish it because he is hurt or ran out of money to run his business.
One man contractors who are careful that they don’t take on too much work and are good at what they do can be a real bargain. The smaller contractor is usually a safe bet for smaller projects like handyman work, windows, decks, doors and painting.
Larger more established contractors usually have more resources for the larger remodeling projects like additions, kitchens, and large scale remodeling.
Whatever you do be sure to know the capability of your contractor so you don’t become a contractor nightmare story. You usually get what you pay for!!!
Mark
Posted by Mark Paskell on Sat, Mar 22, 2008 @ 04:33 PM
For the past 20 plus years I have been helping homeowners find cost effective solutions remodeling their homes. As a design build and exterior renovation expert, I met many homeowners who were looking for a professional and ethical company to renovate their home. Thankfully, I worked for great companies who always did what was right for the customer who received the best possible craftmanship and quality materials.
Also in my 20 plus year career, I had the unfortunate experience of meeting many homeowners who were treated poorly by contractors. The poor treatment left homeowners with shoddy workmanship, unfinished projects, wrong materials, projects that had to be ripped out because they didn’t meet code, mechanics liens for unpaid material bills, messy work sites, lawsuits from uninsured workers and more.
In a former post, I mentioned that contractors are the most complained about industry in the country according to the Consumer Federation of America. Since 1999 the contracting industry has more complaints against it than used car salesman. Is it any wonder that homeowners are wary and scared when it comes time to hire a contractor to work on their most valuable investment, their home.
It has been one year since I gave seminars on How to Hire A Contractor at the DCU Worcester Spring Home Show. I presented this seminar with a panel of professionals from the Better Business Bureau, The Mass Attorney Generals Office, a consumer advocate and an attorney. It was apparent, that most people were concerned about hiring a contractor. Many contractor nightmare stories were brought up and discussions were held to find ways to protect the homeowner from these tragedies.
I have always wondered how can I help protect homeowners from having a bad experience with a contractor. Giving these seminars and providing homeowners with the tools to properly hire a contractor is a start. I have always thought wouldn’t it be good to offer training to the contractor?
So how can I help homeowners by coaching contractors?
In February of this year I decided it was time to start the Contractor Coaching Partnership. I spent the last 16 years working for a great contractor in the residential remodeling industry learning how to help homeowners have good experiences remodeling their homes. We did kitchens, baths, additions and roofing. I believe the success we attained was due to the team we had and the committment to industry best practices. We were big on educating and training our people using systems based on industry best practices. I helped develop a company that last year was ranked in the top 150 companies in America. Thankfully, I will be able to use this great experience and training to coach contractors servicing the residential homeowner.
The cost of entry into the residential construction industry is low. There are many excellent craftsman in the business.
However, if you truly look into to the residential construction industry you will find that most residential contractors are not well versed in the subject of how to run a business.
I will be helping homeowners by coaching and training residential contractors on the subject of using systems and best practices to better serve their customer and employees.
I am going to use this blog as a forum for homeowners and contractors to discuss issues concerning the residential homeowner construction industry.
I welcome any and all comments from homeowners and contractors.
If you know a homeowner having issues with a contractor please let them know about this blog. If you know a contractor who is struggling please let them know about this blog.
A goal of this blog is to better the homeowner/contractor experience. Please spread the word.
Thank you
Mark Paskell
The Contractor Coaching Partnership
mark@thecontractorcoachingpartnership