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Quality Sub-Contractors Equal Profitability

Start and maintaining a business nowadays in a very volatile construction industry can be compared to a salmon swimming up stream.  Occasionally there are those pockets of calm waters allowing your company to press forward with minimal effort, but like every river, there are always those obstacles that can and will bring your progress to a screeching halt, and the walls you need to scale at these times may seem insurmountable. But with a little help, your business, like the salmon, eventually make it to their ultimate destination.

Getting over these bumps in the road require the right help, and that means surrounding yourself with quality sub contractors.  Every great leader surrounds themselves with great help, understanding that every piece is an intricacy part of the puzzle that make their business successful.  Profitability is the name of the game, and when hiring "Subs", the final decision generally comes down the Almighty Dollar, and more often than not, the cheapest price "Gets the Gig".  Partnering with sub contractors of course comes with a price, but what little you pay now may actually cost you more by jobs end.

Let's take a Sewer/Water contractor just awarded a modest six-figure project.  As is common, getting a project to keep money flowing though the books and employees working comes at a cost of a small margin, with the hopes that when the ink is dry at jobs end, it is the color black.  The company you choose to truck away your excess spoil and/or bring back your granular backfill is HUGE factor in whether you make or break a profit.  You can pay $3-$5/hr less, but are really making or saving money?  Paying that extra couple bucks for your cartage needs reflects that you get quality dependable equipment, experienced knowledgeable drivers, and consistent productivity, which in turn means more loads moved daily, keeping your project on schedule, and your CFO very happy...

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August 6, 2011 @ 1:25 pm
Wymetto Barnard
( Customer Payment Solutions )

Great article - it's so true you get what you pay for. Don't always take the lowest bid but someone you can trust to get the job done in the time frame you want and expect.

August 16, 2011 @ 8:50 pm
Max Tremmel
( DirtPail.com )

Thank you! Your so right... you really need to to determine the true value versus the lowest price. Thanks for commenting!

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