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a contract for subs

Discussion in 'Commercial Snow Removal' started by bubble boy, Oct 2, 2002.

  1. bubble boy

    bubble boy Member
    Messages: 44

    i am looking into hiring a sub this winter and want to draw up some sort of a basic contract, nothing too involved.

    i am looking into WC and insurance detail now and will include this info, plus a payment schedule, contract term, non compete clause, duties, etc.

    also including a note that plowing anyone not on the list is in breach of contract.

    just wondering, what do the smaller companies include that i've missed? searching surprisingly turned up little.

    again, i know these agreements can be pages long, but what basic points have i missed?

    any help is of course appreciated;)

  2. plowed

    plowed Senior Member
    Messages: 344

    Have you included how travel time will be paid/comp'd?

    Some guys don't pay it at all, while others pay for port to port, that is from the time they leave the yard/shop to the time they return.
  3. SnoJob67

    SnoJob67 Senior Member
    Messages: 384

    Consider calling 1-800-456-0707 to order John Allin's Snow Removal Business Forms on CD.

    It costs about $25 or so. I just recently bought the CD myself. I'll check it out and see if I get any ideas for new forms or ways to improve our existing forms for next season.

    Although I have not had a chance to check out the CD, this is my take on Allin Co's forms that I have seen. If you are wanting to be thorough and document service without having pages and pages of contracts, etc. his forms are likely to be easy to adapt for your needs. And, no, he isn't paying me royalties. :p

    The forms I got were included in my binder for my member kit when I joined SIMA. That binder is worth the price of joining if you want to get a better idea of how other successful contractors do things.

    I freely throw money at educational materials, seminars, etc. when I have the chance. That may just be my nature, but it has helped me. I am very happy with my return on those investments.:cool: payup :cool:
  4. Big Todd

    Big Todd Senior Member
    Messages: 126

    I have been working with my insurance guy setting up our policy as we have recently formed an LLC. He tells me to make sure that we require our subs (with their own trucks) to carry at least as much general liability coverage on their own policy as we have. I would make sure to have that in the contract too.
  5. John Allin

    John Allin PlowSite.com Addict
    Messages: 1,327

    If you decide to carry $5M GCL coverage, you'll be very hard pressed to get your subs to carry that kind of coverage. The agent is reciting the company verbiage. But just be aware of the ramifications of demanding your subs have the same coverage as you if you raise your limits significantly.

    As for the CD - there is a subcontractor agreement that you can manipulate for your own purposes. And, it's being used by quite a few contractors around the country. We also know it works as it's been tested in the court system in various states.
  6. SnoJob67

    SnoJob67 Senior Member
    Messages: 384

    Also, you may want to check with the Canadian equivalent of the IRS about restricting employees from performing other plow jobs.

    The IRS will classify someone restricted from performing other plow jobs as an employee, rather than a subcontractor for tax purposes. I'd hate to have to pay that kind of tax bill. :realmad:
  7. bubble boy

    bubble boy Member
    Messages: 44

    awesome, thanks for the info