Working With Another General Contractor Advice

 
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Old 05-27-2007, 11:01 AM   #1
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Working With Another General Contractor Advice


I have a old co-worker/buddy I used to work with who is a General Contractor as well here in Cali....a month ago or so he was talking to me about working with him in some of his kitchen remodels(we are fast and efficient together)...he is a lot more busier than me at this moment(he has been in busines for 3 years longer than me) so I wouldnt mind bringing a little extra money while I am in between two major remodels that havent started yet.

My question is how would I charge him?

Would I look at the job and give him an estimate on what I think it will take for both of us to do the work together....it seems there are a lot of grey areas and so many variables involved to truly give an accurate estimate to him that way. He was suggesting I work by hour at $50.00 an hour which is way lower than my profit margin, so I am a little hestant about this. What would you guys do, or have you done in the past???

I know I should raise my price to my normal profit ratio but he is dealing with all of the hassles and I am there just to offer my services so I dont know...just looking for a step in the right direction!

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Old 05-27-2007, 11:46 AM   #2
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Re: Working With Another General Contractor Advice


Quote:
Originally Posted by A.W.Davis View Post
He was suggesting I work by hour at $50.00 an hour
i'd tell him to f**k off right there ...

(not those exact words - remember - dip darts with honey; not poison)
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Old 05-27-2007, 12:17 PM   #3
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Re: Working With Another General Contractor Advice


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i'd tell him to f**k off right there ...

(not those exact words - remember - dip darts with honey; not poison)
Your right Dirt....I wanted to say those exact words.....we are friends in a way but business is business!!

I think I will pass if he asks for me to help.....afterall I am benifiting his company, not mine! Even though he said he would help get me jobs and send ones he passes up my way.
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Old 05-27-2007, 12:31 PM   #4
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Re: Working With Another General Contractor Advice


About 25 years ago I did a similar project. We built racquetball courts, a large commercial pool and a kiddy pool. It was his contact but he lacked the ability to do the project so he called me.

My deal was, we do the project under my contract, my license, I do the books, neither of us takes a dime until the project is complete, then we do an even split of what's left. During the project we would both be out on the job working every day.

It worked out just fine. We were both satisfied with the outcome.

I insisted on doing the books because his wife would have done his and I didn't trust her (she was constantly trying to get in my pants). I trusted him and worked well with him. He had a good work ethic as do I. Saw him again about a month ago (first time I'd seen him in 15 years). He was cleanout his garage, finally retiring, at 82 years old.
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Old 05-27-2007, 12:40 PM   #5
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Re: Working With Another General Contractor Advice


That sounds like you had a great partnership THOM, that would be great if he and I could strike up a similiar agreement but I dont foresee that happening just based off the things he has told me already.

No biggie for me though I have jobs lined up, but wanted to get some feedback on this matter!
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Old 05-27-2007, 12:54 PM   #6
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Re: Working With Another General Contractor Advice


50 bucks an hr, was his offer? be a biz man & negotiate......
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Old 05-27-2007, 01:10 PM   #7
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Re: Working With Another General Contractor Advice


Quote:
Originally Posted by A.W.Davis View Post
Your right Dirt....I wanted to say those exact words.....we are friends in a way but business is business!!

I think I will pass if he asks for me to help.....afterall I am benifiting his company, not mine! Even though he said he would help get me jobs and send ones he passes up my way.
and would it be fair to say a lotta contractors spew BS??


you don't have to be a jerk about it (goes for just about anything) but i can tell you know this - not meaning to insult intelligence or anything

"send ones he passes up your way"

great - so you get the sh*t work.


I think you know the answer to all this - you're just makin conversation
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Old 05-27-2007, 01:13 PM   #8
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Re: Working With Another General Contractor Advice


Quote:
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I think you know the answer to all this - you're just makin conversation
Bingo!!
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Old 05-27-2007, 01:14 PM   #9
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Re: Working With Another General Contractor Advice


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great - so you get the sh*t work.

Exactly, those where my thoughts also!
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Old 05-27-2007, 01:25 PM   #10
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Re: Working With Another General Contractor Advice


**** work is only **** work bc, often guys don't have the guts to write it high enough..... so called **** work can be a goldmine, as often nobody else will even write the job.....

for example, somebody
walked up to me when filling at gas station. told me they have an above ground pool that needs a pump & to be opened. then told me they live about 4 blocks away. we don't do above ground work.... but I told him 1200$, & he said ok....
I was 100percent sure to get a no... now its a 1.5hr job + my cost of 134....
**** work can bring in some quick easy $
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Old 05-27-2007, 01:39 PM   #11
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Re: Working With Another General Contractor Advice


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**** work is only **** work bc, often guys don't have the guts to write it high enough..... so called **** work can be a goldmine, as often nobody else will even write the job.....
**** work can bring in some quick easy $
Agreed
Especially the small jobs they seem to be the most profitable

I will defienetely set up a consultation with anybody interested in a remodel but I will hold my expectations pretty low initially at least until I have spoke with them....I think that would definetely be a shortcoming to your business if you pass prospects up based on judgements. But I do understand where DIRT is coming from. And I feel the same way, I think we all..... even though we feel that way about hand me down jobs or **** work as you call it still attempt to get things going.
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