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Sub contracting agreements (Questions)

Discussion in 'Business Fundamentals' started by contractor078, Dec 1, 2014.

  1. contractor078

    contractor078 Senior Member
    Messages: 232

    When you guys sub to someone else do you....

    1. Have a contract with them saying what locations or contracts you will do?
    2. Have an agreement on how you will get paid?
    3. Do you have a certain radius that you will work from?
    4. Also are you a 3rd tier sub. Meaning do you sub to someone that is already a sub?

    Reason why I ask. Is i have a day job that pays the bills. I don't do enough of this to try to have my own full time business doing site work and snow plowing. So I sub to a pretty decent guy.

    Thing is that he has 4 or 5 accounts that i take care of clustered pretty close and can get them banged out pretty quick and on my way. He has another one that is about 45 min away and about 1.5 hours from my day job and really doesn't pay all that well. To make it worth the ride to plow it. Meaning the hourly i get is not worth the drive time to and back to plow it.

    So do i just suck it up and do it or do i tell the cat its not worth my time to go that far out of my way to do that one.

    Thanks in advance.
  2. peteo1

    peteo1 PlowSite.com Addict
    Messages: 1,658

    Who goes an hour and a half to plow something? I know I would be trying to get out of that job.
  3. contractor078

    contractor078 Senior Member
    Messages: 232

    Thats my point. all the others are with 10 min or less of each other.

    So do i tell the dude that i will do the one and not the other?
  4. SnoFarmer

    SnoFarmer PlowSite Fanatic
    from N,E. MN
    Messages: 7,921

    I dont use any contracts.
    He calls and says can you plow x.y&z for me.
    I say, sure
    He then tells me how much he will pay me for each lot I plow.

    If the work is to far away just decline to go do it.
    Pay, I get paid after he gets paid by the customers.
    I have known him for years, so I'm not dealing with a stranger.

    Not every thing needs a written contract.
  5. contractor078

    contractor078 Senior Member
    Messages: 232


    not so much looking for a written contract. More a polite way of telling this guy that I will be more than happy to do the 5 accounts that are all clustered together but not doing the one further away.

    he also subs for another guy and wanted me to go work for him for this other guy. Then i would be 3 down on the list.
  6. SnoFarmer

    SnoFarmer PlowSite Fanatic
    from N,E. MN
    Messages: 7,921

    If you dont know him well I guess id want something about pay written scribbled out on a napkin .lol
    Just to have something to show the judge if it all goes south.

    Nothing wrong with saying what you will and won't do.
    then it is unto him to hire you or not.

    and it will be on your INS not his as your a sub contractor.