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Checking a Contractor's Credit

Checking a Contractor's Credit
Tainted Joe - Tue Mar 27, 2012 @ 01:31PM
Comments: 3

If you are a small subcontractor doing work for a big contractor, you can end up holding the bag. You do a bunch of work, pay for all the materials, finish the job in time, and then you don't get paid. It happens all the time these days. It used to be you could trust a Contractor, but now you can't. Definitely do a contractor check before you do any business with a Contractor, to make sure he can pay his bills. You aren't out there to finance other people's projects.

At www.patdickson.com there is an interesting article on how to look into whether a Contractor is credit worthy. You can do stuff like look them up with the Corporations Commission, the Better Business Bureau, the Registrar of Contractors, check their bonding, get a D&B report, and all sorts of other stuff. Many times a subcontractor just can't pay for a lawyer and can use some help because his margins are already pretty low. 

Comments: 3

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