Working With General Contractors Reference

Why this matters

General contractors (GCs) are major customers for many specialty trades - new construction, remodels, additions. Working with GCs differs from direct-to-homeowner: payment terms, scheduling, scope agreement, billing all unique. The tech who navigates GC work well builds steady B2B revenue. This is the field card.

What GCs are

General contractor:

• Coordinates a construction project
• Hires + manages subs (subcontractors)
• Bills the customer / property owner
• Schedules + sequences work
• Carries general liability + workers' comp

Their customer: property owner OR developer

Your customer: the GC (not the property owner, even if you're working in their home)

When you're a sub

As subcontractor:

• GC pays you
• GC coordinates schedule
• GC handles customer relationship
• You execute your trade scope

You're NOT:

• Directly engaged with property owner for scope decisions
• Authority on overall project
• Customer's primary contact

Contract types

Subcontractor agreement:

• Written contract with GC
• Scope, price, payment terms
• Insurance requirements
• Indemnification language
• Don't proceed without one for significant work

Purchase order:

• Specific scope + price
• Less comprehensive than contract
• Common for smaller jobs

Bid + acceptance:

• Your bid; GC acceptance
• Often via email
• Acceptable for smaller scope

Scope clarity

Before starting:

• Drawings + specifications (full set)
• Specific scope (what you do, what others do)
• Boundaries (where your work ends + others begin)
• Materials supplied by you vs GC
• Cleanup responsibility
• Warranties expected

Ambiguous scope = disputes + lost money.

Pricing for GC work

GCs expect:

• Competitive pricing (they bid out)
• Hold-up to project budget
• Change order pricing (separate from base)

Pricing strategy:

• Fair (not premium; not lowest)
• Detailed line items
• Clear what's included / excluded
• Add change order processes

Direct-to-consumer pricing usually higher than GC sub pricing (different overhead, marketing, etc.).

Change orders

Original scope changes:

• New scope item
• Different material
• Site condition discovered
• Customer request added

Change order process:

• Written change order
• Scope description
• Price
• Time impact
• GC + property owner approval (often)
• Then proceed

Don't:

• Do extra work + bill later (often denied)
• Modify scope verbally
• Trust "GC will pay" without paperwork

Scheduling

GC schedules subs:

• Sequence matters (you can't do duct before walls framed)
• Coordinate with other trades
• "Pulled" when site ready
• "Released" when your work done

Best practices:

• Be available when called
• Show up on time
• Don't promise more than you can deliver
• Communicate delays immediately

GC builds reputation on hitting schedule; sub who delays threatens that.

Site coordination

On a multi-trade site:

• Other trades present
• Coordinate access (you + plumber + electrician can't all be at the same wall)
• Don't damage others' work
• Don't cover own work that other trades need access to
• Respect safety + cleanliness

GC may have site meeting:

• Pre-job (kickoff)
• Weekly progress
• Issue-specific

Material handling

Some GCs supply materials; some expect you to:

• Materials list per agreement
• Storage on site (or you bring daily)
• Theft protection
• Damage tracking

Check before starting; assumption costs money.

Documentation

For each job:

• Signed contract / PO
• Drawings (your copy with notes)
• RFI (Request for Information) + responses
• Change orders
• Photos of work
• Submittals (manufacturer cut sheets, equipment specs)
• Permits
• Inspection records

Document thoroughly; protect against disputes.

Permits

GC often pulls permits; sometimes sub:

• Specify in contract
• Don't assume
• Permit cost + responsibility
• Inspection scheduling
• Closeout

If you pull permit: license must match work; inspection delays possible.

Inspections

Code inspector visits:

• Rough-in (before walls closed)
• Final
• Each trade has own inspections

Inspector visits:

• Be present OR available
• Address issues directly
• Don't argue with inspector publicly
• Document findings + corrections

Cleanup

Sub responsibility:

• Clean up after own work
• Remove debris
• Don't leave materials for others
• Don't damage finished work

GC handles overall site cleanup; you handle your area.

Payment terms

GC payment typically:

• Net 30 from invoice receipt
• Some net 45-60
• Pay-when-paid clauses (GC pays when GC gets paid; risky for sub)
• Pay-if-paid clauses (GC only pays if GC gets paid; very risky)

Avoid pay-if-paid contracts when possible; you take risk for GC's customer not paying.

Lien rights

If GC doesn't pay:

• Mechanic's lien against property
• State law-specific
• Notice + filing requirements
• Effective leverage (property can't be sold OR refinanced)

Standard procedure on commercial projects.

Insurance requirements

GC typically requires:

• Liability insurance (substantial per-occurrence coverage typical)
• Workers' comp
• Auto coverage
• GC named as additional insured
• Certificate of insurance (COI) provided

Without insurance: GC can't legally use you.

Indemnification clauses

Watch contract language:

• "Hold GC harmless"
• "Indemnify GC for any claims"
• Make sure you're insuring only your work, not GC's

Some clauses are unenforceable; some are dangerous. Read carefully.

Specific trade considerations

HVAC sub on new construction:

• Ductwork rough-in
• Equipment install
• Refrigerant lines
• Coordination with framers, drywall, electrical
• Manual J calculations

Plumbing sub:

• Underground rough-in (slab homes)
• In-wall rough-in
• Fixtures install at end
• Coordination with framers, drywall, electrical

Electrical sub:

• Service entry
• Panel install
• Rough-in (boxes + wire)
• Finish (devices + fixtures)
• Coordination with all trades

Roofing sub:

• After framing complete
• Before exterior trim
• Weather coordination

Specific scenarios

GC asks you to skip permit / inspection:

• Don't
• Code violation; your license at risk
• Refuse politely

GC asks you to charge less than market:

• Decision based on volume / future work
• Don't accept loss-leader pricing
• "I can do for [your price]; can't go lower"

GC asks you to bill higher to property owner than your invoice to GC:

• Possibly fraud
• Don't participate
• Walk away if pressured

GC's project is over budget:

• Sometimes GC asks subs to cut prices to save the project
• Negotiable case-by-case
• Not obligated

GC's customer changes scope:

• Should be change order
• GC's customer relationship issue
• Don't lower your price because customer changed mind

Customer relationship

The property owner is standing in front of you, in their own house, asking you questions. They are not your customer. Getting this boundary right is most of what separates a sub a GC calls back from one they replace.

Route scope and money through the GC, always. When the homeowner asks what something costs, how long it will take, or whether you can move an outlet three feet, the answer is the same: "Let me get with [GC] on that, they're coordinating the whole schedule." Then actually tell the GC that day. Quoting directly, even casually, undercuts the GC's own number, wrecks their sequence, and is exactly the behavior that gets a sub dropped.

Never do favor work off the books. The homeowner asks you to hang one fixture, look at a leaky faucet, add a receptacle. It takes ten minutes and it creates four problems: it is outside the permitted scope, it is uninsured on that job, it undercuts the GC, and when it fails nobody knows who owns the warranty. Say yes to the relationship and no to the task: "I can't add to this project, but call the office after the job closes and we'll take care of you."

Do not badmouth anyone on site. Not the GC, not the other trades, not the design. The homeowner is anxious and will repeat everything you say back to the GC with amplification. If you find a real defect in another trade's work, tell the GC privately, in writing, with photos. Handing them a documented problem makes you valuable; announcing it in the kitchen makes you a liability.

Do not get pulled into a dispute. When the owner starts complaining about delays, cost, or the GC personally, stay out of it: "I only know my piece, but I'll pass that along." Taking a side in a fight you are not party to has no upside and can put you in the middle of a claim.

Behave as though the owner is your customer anyway. Clean truck, clean language, shoe covers, tidy work area, radio down, cleanup at the end of every day. They will eventually own the finished house and the system you installed, they will call somebody in five years when it needs service, and they talk to their neighbors. The GC pays you today; the homeowner is who generates the referrals later.

Know what your agreement says about solicitation. Many sub agreements bar you from soliciting the GC's customer for a defined period. Read it before you leave a card on the panel or sign up the owner for a maintenance plan on the last day of the job. Answering a call that comes to you unsolicited a year later is different from prospecting on an active project, but the contract, not your instinct, sets the line.

Be clear about warranty and who they call. The owner should leave the project knowing whether service calls go to the GC or straight to you. Confirm that with the GC and then say the same thing the GC says. Two different answers on that question is how a warranty claim turns into an argument.

References

• ASA (American Subcontractors Association) resources
• State construction lien laws (varies)
• ConsensusDocs OR AIA contract documents
• AGC (Associated General Contractors)
• Manuall internal: Customer Communication Standards, Service Call Pricing Models