The Disadvantages of Contracting Local Contractors

Local Contractors

The main disadvantage of contracting local contractors for a design and build project is that you are engaging a lower-skilled and lower resource workforce, with lower resources and higher risk, resulting in lower quality and higher prices. There are several things that can go wrong with a contract such as:

Design and Build

Your design and build project may be a great experience for the whole team and the construction industry but can result in problems down the line. If the contractor isn’t up to scratch, the entire design process can become costly and very time consuming, with your clients coming back to you again asking for more changes. The cost of the design and build project may actually exceed your initial estimate if a single mistake occurs during the process.

You have to pay the contractor

When you hire a design and build contractor from overseas, you are likely to pay them in one lump sum, not spread out over several months. This is a significant cost for those who are starting a new company and may not be able to cover it without extra help, especially if you have not established a long term relationship with the company.

The cost of your design and build project may be very high, especially if you are building on a larger scale. However, if the contract has a limited budget, you will need to choose the contractors carefully so that they don’t end up taking too much out of your business and leaving you with little to spare.

Many of the contractors who design and build a design and build project will try and cut costs by charging a fee before they start work on the job. This can sometimes backfire and the design and build project becomes unprofitable when the contractor finds out what you’ve done. It’s important to take the time to fully explain your requirements and let the contractor know what you are willing to spend on the design and build project.

Once you have completed your design and build project, it may well be time to hire a construction management company to look after the maintenance and repair of the project. If the contract you signed does not contain a provision for this, you may find that you are unable to get timely repairs and maintenance if you hire someone else to do this for you.