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question about subcontracting work out

Discussion in 'Business Fundamentals' started by trqjnky, Nov 13, 2009.

  1. trqjnky

    trqjnky Senior Member
    Messages: 620

    i have a guy with a plow that wants to do work for me if i need help, what does he need to have to be legit? i dont want him ******* something up and it comes back on me.

    biz license, insurance, etc? what will he need?
  2. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    He needs everything that he would need to have to run his own business.And you need a subcontractors agreement to. No he can't use your equipment either or that makes him an employee.
  3. wdcs1

    wdcs1 Member
    Messages: 74

    Here in utah he must have all the same things I as a contractor must have. And I would have to upgrade my insurance to cover him as well. They told me the price would run off how long he was sub contracted and how many hrs he worked. Example 6mo 40hrs would cost me an extra hundred yr on my gl policy
  4. forestfireguy

    forestfireguy PlowSite.com Addict
    Messages: 1,276

    As I understand it here in NJ, he'd need to have Business GL , Commercial Auto, and workers comp even if he's a sole prop(strange I know). If he doesn't you can withhold 20% ish and cover him on yours. But commercial MV is a must. He doesn't need plowing ins rider if he's plowing your clients only. If he does any of his own besides you'd better make sure he gets it on his own or they may come after yours if they know he pushes for you too. Not sure how that plays out in the end but Ive heard of it happening and it seems like a huge headache.
  5. Silentroo

    Silentroo Senior Member
    Messages: 147

    Many of us give legal advice.

    talk to your lawyer and insurance company.....

  6. hairygary

    hairygary Senior Member
    Messages: 149

    In indiana your subs dont need workmans comp for themselves unless they have employees. my insurance company requires my subs to have GL policies at least the amount of mine, and you must get a ceritificate of insurance from them listing you as an additional insured.. Your sub should also have commerical auto covering snow plowing and/or salting.