In Part One of this article, we covered 6 key steps to selecting a contractor to assist you with your construction needs.  In this article, we provide you with a detailed list of questions that should be asked when interviewing that contractor. These questions, coupled with our 6 previous suggestions, will provide you with an effective strategy for selecting the right contractor for your project.

How long have they been in business? Contracting is a tough business and unfortunately many contractors don’t survive their first few years.  You don’t want to hire someone who may not be in business a year from now.  A good rule of thumb is to seek companies that have been licensed and actively performing work for at least 5 years.  Most contractors who survive a minimum of 5 years are doing something right and of course the more years of experience, the better.

Can they provide a list of current and past references?  We discussed this in Part One, but it’s so important that it bears repeating. When selecting a contractor, always ask for the names and contact information of clients. Any contractor who has been in business long enough should have a long list of references. Randomly choose the ones you want to call and have a prepared set of questions.  How satisfied were customers with the contractor?  Would he or she use the same contractor again?  What made the project a positive experience and how did the contractor handled problems that arose on their project?

What is their safety record?   How does the contractor prevent injuries and ensure a safe jobsite for its clients and its employees?  Do they have a fulltime in-house Safety Director?  Will they create a project specific safety manual for your project?  Are their supervisors and employees trained in First Aid, CPR and Fall Safety? One way to gauge this is to ask the contractors what their Experience Modification Rate (EMR) is.  Without getting too technical, EMR is a number used by insurance companies to gauge a company’s future chance of risk.  An EMR of 1.0 is the industry average, so anything below a 1.0 is good, but anything above is bad.

Are they insured to do your work?  Insurance is an entire topic in itself, but ALL contractors are required to carry some level of general liability and workers’ compensation insurance.  The types and amounts of insurance will vary job to job and state to state, so make sure that you understand what these requirements are so that you can verify that the contractor can meet these requirements. Is their insurance project specific?  Does it include provisions for completed operations?  If the building is a condominium, does their insurance cover condominiums?  Just because a contractor has insurance, doesn’t mean that it’s the right insurance, so make sure that you know the right insurance questions to ask before selecting your contractor.

How do they document their projects?  Knowing how decisions are made and how these decisions are memorialized and provided to you as the client is critical to any successful project.  Written scopes of work, construction drawings, contracts, meeting minutes, project schedules, cost estimates, insurance certificates and lien release are just a few of the documents that you should expect to receive as an owner.  How a contractor documents your project and what information they actually provide you will vary, so know what documentation you require and make sure that the contractor is going to give it to you.  

How do they handle client communication? At the end of the day, it always comes down to communication.  No matter how small or large the project, clear communication between the contractor and client is critical.  So here are a few questions that you should ask.  Will there be a primary contact for your project and who is it?  Will that person have a backup?  How will the project progress be communicated: emails, daily calls, weekly meetings? In the case of an after-hours emergency, is there someone you can call?  If the project requires regular communication with multiple homeowners and or tenants, does the contractor have someone who can manage these communications too?  Again, knowing what your communication requirements are for your particular project will help you to ask the right questions.
 
Selecting a contractor can be a difficult, but it doesn’t have to be.   My hope is that the above questions and suggestions further assist you with selecting the right company for your project. 

Charter Construction has performed Repairs, Renovations and New Construction for 34 years.  If you have any questions regarding your home or building, our seasoned team of professionals is prepared to assist you with your construction needs. 

Please contact our Team at 206-382-1900 in Seattle or 503-546-2600 in Portland. Very Truly Yours, Eric JacksonVice President