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Sub Work Ins&Outs

Discussion in 'Commercial Snow Removal' started by northernnewbie, Sep 27, 2007.

  1. northernnewbie

    northernnewbie Member
    Messages: 31

    What do I need to know about sub-contracting?

    Insurance? Should I expect to get any coverage from the contractor or should I only count on having my own to protect me?

    Rates (hourly or contract)?

    Hours? I need a flexible schedule cause I'll be starting new classes in January and I also have a 2nd shift job. Do you guys usually contract people on-call or do you only offer specific routes?

    Sorry if my questions are dumb, I am totally new to this. Last winter I plowed out a hand full of friends, volunteered at a non-profit where I know some people and plowed out one small business for lowball $. I don't want to be a lowballer, I promise :angel: This winter I really need money out of this $4K plow or I've got to get rid of it.
  2. lilweeds

    lilweeds PlowSite.com Addict
    Messages: 1,178


    The one thing I will say with ANY subs for ANY job, have them list you AND your customer as additional insured on their policy. It just make good cents! I also recomend that they have at least a mil policy for general liability and auto liability.
  3. NE Snowmelting

    NE Snowmelting Junior Member
    from 02333
    Messages: 7

    I agree, with the man! The good thing also is that you will know the sub is professional enough that he has coverage.
  4. MickiRig1

    MickiRig1 PlowSite Veteran
    Messages: 3,617

    Make sure your insurance is up to snuff, buy more to cover you,talk to your agent.
    Pull out the phone book and look up "snow plowing". Start calling them and ask if they hire subcontractors, the hourly rate, where they operate and how a call out works for the work. If you get hired find out what part do they pay. Just when your plowing and not travel time between jobs? Or the whole time your in their control. Make a log sheet to protect yourself, keep track of the time you spend, location plowed. If you notice damage that's been done plowing and you didn't do it, report it to your dispatcher right away, Report any damage you do also. Ask to get a list of locations the company plows. Go look at them, look for hazards and find out where the snow is to be piled. Also the "DO NOT DO'S "of the sites. Carry snow shovel, a garden shovel, <-- ( I am stuck / recovery stuff ) extra vehicle fluids, yank strap / chain and stuff for you,water, food,blanket, coffee etc.
    Get gas receipts and all repair / insurance receipts so you can write off on your taxes.
    Some companies pay every 2 weeks, monthly, 1/2 way through and end or ALL at the end of the season. Some will pay an hourly bonus if you make every event. Look at the employment forum here. Someone may be near you that is hiring subcontractors.
    Try to keep your education first in your mind, the more you learn the more you can earn.
    Last edited: Sep 27, 2007
  5. SnoFarmer

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

    First you need to a contractor.
    Get your business registered with your state IE: LLC ,CO,INC

    A sub-contractor is a contractor that is hired by the contractor who holds the contract.

    I as a contractor I hire another business(a contractor) to plow a lot.
    This business is known as a SUBCONTRACTOR

    Employee = his insurance
    sub or contractor your own insurance.

    Last edited: Sep 27, 2007
  6. SnoFarmer

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

  7. MickiRig1

    MickiRig1 PlowSite Veteran
    Messages: 3,617

    The question as I took it is, the ins and outs of being a subcontractor.
    I take it he wants to subcontract since he's in school.
    Read the first post please before you attack twice!.
  8. SnoFarmer

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

    make it three swings.:rolleyes:

    regardless what you describe is an employee not a contractor or a sub-contractor.

    Who is an Independent Contractor?
    A general rule is that you, the payer, have the right to control or direct only the result of the work done by an independent contractor, and not the means and methods of accomplishing the result.

    Who is a Common-Law Employee (Employee)?
    Under common-law rules, anyone who performs services for you is your employee if you can control what will be done and how it will be done. This is so even when you give the employee freedom of action. What matters is that you have the right to control the details of how the services are performed

    He would be an employee... not a sub or a contractor.
  9. northernnewbie

    northernnewbie Member
    Messages: 31

    This is good to know! Right here we have an issue that I overlooked in my original post.

    BTW I am set up as an LLC.