What Does A Real Estate Investor Need To Know About Hiring Contractors

September 23rd, 2022 by admin No comments »

Where do you find contractor? Ask for referrals from other investors. You can also go to Home Depot early in the morning where the contractors check out. Talk to the clerks about who are the regulars and talk to the contractors in line. Check out their work start to finish and their references. Home Depot is a great place to find a reasonable crew that works for builders.

Does the contractor need insurance? You need to make sure you or your contractor has two types of insurance.

The Two Types Are:

A. Workman’s Compensation Insurance: If you are doing a lot of rehabs,Guest Posting you will want to get a minimum workman’s compensation insurance. If your contractor has workman’s compensation insurance, you will want him to give you a copy of his insurance with you shown as an additional named insured. You then have proof of coverage. Even if you have a minimum policy covering you, you will still need the proof of coverage for your insurance carrier or you will be charged for their cost on your own policy. If you hire a contractor working by himself he can choose to exempt himself from workers compensation, but he needs to sign a form that you get from your insurance company.

B. Liability Insurance: Make sure again that you’re named as additional insured on your contractor’s policy or have your own policy. You should talk to insurance experts to determine the amount of coverage you need.

C. Builder’s Risk Insurance: You may want to check on getting builders risk insurance for other coverage on your equipment, tools, and etc.

How do you pay your contractor?If you are dealing with new contractors that you don’t have a track record on, I recommend that you buy a small amount of materials and see that they get the materials to the job. Only pay for the work that gets done. The question you need to ask yourself is if the contractor walks from the job is there enough money to hire someone to finish the job. Even experienced investors, as well as new investors make the mistake of paying out too much on the job all the time. I have had Home Depot call me and tell me that my contractor is bringing materials back for cash refund. I have had great contractors who I have had a long relationship with me walk off the job. It is a must to hold back enough dollars to hire someone to finish the job. I don’t care how long you have worked with contractors you have to inspect the job before paying. If you don’t inspect the work, don’t get in the business. Consider placing a provision in your contract that final payment is contingent on passing a city certification inspection.

Serious And Funny Construction Definitions Contractors Enjoy Reading

March 15th, 2022 by admin No comments »

Over The Past 30+ Years -I have accumulated a variety of terms to describe the construction industry. Some of them are intended to be funny, some are serious and the rest are entertaining. Please feel free to share them with your friends, relatives and most importantly contractors as they will appreciate the humor and perhaps find value in the words of wisdom we are sharing.

If You Have Any Others You Would Like To Be Added Please Leave A Comment On The Right

80/20 Rule – of a contractor’s wealth and wellbeing comes from 20% of their activities

24 Hour Bookkeeper – Bookkeeper that sits in your office quietly, no watering, no feeding, available to work around the clock, never wastes company time surfing the web or chatting on cell phone

Aggravation Box – Computer with construction accounting software operated by a trainee

Auction – End result of working in the business, focusing on the wrong stuff and bad financial reports

Auditor – Person who goes in after the war is lost and bayonets the wounded

Assets of Company – Cash / Receivables – Payables / Trucks / Tools / Equipment / Material

Assets of Firm – Cash / Business Process / Sales Process / Client List / Predictable Cash Flow

Bad Bookkeeper – Wealth prevention tool keeping contractors from earning more than bookkeepers

Bad Bookkeeper Thinking Patterns – Some of the reasons they do what they do to drive contractors crazy

Bad Bookkeeping – Saving money in the wrong place and making decisions on garbage reports

Bad Numbers – Lead to bad decisions / cash shrinks / business unstable / bankruptcy or failure

Bankruptcy – Result of saving money on bookkeeping and making decisions on garbage reports

BCA Business Coach – Someone who helps you raise your level of thinking and income

BCA Staff Member – Cheerful, well paid, thinking, responsible adult, Mastermind Team member

BCG Matrix – Graphical representation of Cash Cows / Rising Stars / Question Marks / Dogs

Belly Button Accountability – The one person who is responsible for a deliverable on a construction project

Bid – A wild guess carried out to two decimal places

Bid Collector – Customer looking for cheap contractor

Bid Opening – A poker game in which the losing hand wins

Black Box – Computer with construction accounting software operated by a trainee

Bookkeeper Training Contractor – Bookkeepers, who train the boss to let them come in late, leave early, call friends and relatives, take long breaks, get paid more and do less and less.

BPM – Business Process Management for construction company owners to grow passive income streams

Budget Bookkeeping – Listing all deposits from the bank statement as sales income and leads to contractor paying too much in taxes.

Business Failure – No meaningful financial and project management records in the calendar quarter preceding the failure

Business Life Cycle – Start small / grow big / lose shirt / shrink back to small business

Business Plan – A plan to have accurate financial reports to base long and short term decisions on

Business Process Management – Develop a construction business that generates passive income

Business Roundtable – Little round table in tavern with pitcher of beer and four contractors strategizing

C.P.A. – Someone who is qualified to do tax returns and we refer a lot of business to the ones that only do tax returns.

C.P.A. Construction Consultant – Someone who has seen a bunch of tax returns and thinks they know how to run a construction business. They are generally more dangerous to the contractor’s financial health than a drunken car salesman on a backhoe at a gas station, in the dark, digging up live fuel lines.

C.P.A. Involved In Construction Bookkeeping – QuickBooks setup to make doing tax returns easy while greasing the rails for the contractor to go down the tube and go broke by focusing only on making the C.P.A’s job easier and not on increasing cash flow and profitable jobs.

Reputation Management is the Answer How Your Business Is Perceived

February 25th, 2022 by admin No comments »

Is it true that you are keen on finding out about dealing with your standing? Have you been searching for accommodating and solid data? Indeed, this article will ensure you get a few strong ideas. It will assist you with sorting out some way to more readily deal with your standing.

Posting data via online media locales is essential to your business’ standing. You should post a few times each week at any rate to actually run an advertising effort. Assuming you see that posting via online media locales is overpowering, consider recruiting an aide to make your posts for you.

At the point when individuals invest in some opportunity to offer something about your business, it is vital that you are sufficiently gracious to answer. While you might be an extremely bustling individual, it shows your crowd that you really care about them and what they need to say. This is imperative to keep a consistent client base.

At the point when you talk with your crowd, ensure that you do as such in a conversational tone. Individuals try to avoid the possibility of entrepreneurs continuously addressing them with promoting to them. While you would like to make a deal, you ought to never cause a client to feel like this is your main concern.

Be grateful. Assuming somebody leaves a decent audit about your organization, send them an individual message and express gratitude toward them for their criticism. On the off chance that conceivable, send your client a coupon for a specific percent off on their next buy as a much obliged. In the event that this is preposterous, earnestly say thanks to them for their input.

Assuming you will utilize anybody’s thoughts, you ought to constantly make a point to give them credit for that. Everybody out there can advance a little from others, so giving due credit will show individuals that you don’t think you are over that. This is an extraordinary method for getting their appreciation.

On the off chance that you own a business, treat your representatives consciously. Any other way, you might foster a negative standing as an entrepreneur. Certain individuals won’t give you business as a result of it.

Check any regrettable web-based content on your organization by reaching its maker. Assuming there is at any point any regrettable substance when you do an inquiry of your organization, take a stab at reaching the commentator, blogger or whoever posted it at the earliest opportunity. Inquire as to whether there’s anything you can do change their negative feeling to a good one. Assuming they are reluctant to do as such, compose a comment(if conceivable) with your side of the story.