Selecting a Contractor– It’s a Dating Process
Being a contractor is one of the last mom-and-pop enterprises. You’ve probably heard anecdotes, sometimes horror stories, about contractors who got in over their skis: poor workmanship, unpaid subcontractors, liens, lawsuits, delays, and even contractors who simply vanish with the deposit. We’ve seen it all, and we know getting the right contractor is a dating process.
Building or renovating a home is exhilarating and fulfilling, but it is also a significant financial and emotional investment. Your contractor choice will shape the final cost, duration, quality, and your stress level throughout the process.
The biggest firm with blue-ribbon awards might not be your best choice, while a smaller builder in a pickup truck could turn out to be a diamond in the rough. What matters most is their ability to manage plans, trades, billing, schedule, and quality, while understanding local building processes and working effectively with your architect.
And, of course, there are costs you need to understand:
Fees and markups
General conditions (staffing)
General requirements (trash removal, scaffolding, protection)
Billable rates (often hiding markups)
Insurance costs
These often-overlooked factors can significantly impact your budget and project success.
Understanding Contractor Types
Before selecting a contractor, determine which type fits your project best:
General Contractors (GCs): Self-perform portions of the work while managing subs.
Construction Managers (CMs): Oversee the process without self-performing, charging a fee over direct costs.
Design-Build Firms: Combine design and construction, but for design-driven projects, we usually recommend keeping your architect and contractor as separate, aligned partners. Don’t go to dinner theater for the best play or the best meal.
Let’s Speed Date
First, we create a shortlist of contractors to “date.” We recommend want to speak with four or five candidates, though two is the minimum. Where to find them?
At Align, we maintain a vetted Rolodex of contractors, including their strengths, weaknesses, and typical pricing. Architects, engineers, and friends are also excellent resources. Even in markets like New York City, the pool of truly capable, trustworthy contractors is smaller than you might think.
The Dating Process in Action
Once we have our list:
Speak to the contractor about the project and their availabilty.
Request high-level pricing on your plans. If the plans are complete, you can request fixed pricing, though awarding the contract requires deeper diligence.
We want to visit active or recently completed projects, ideally two or three. Here, look for cleanliness, organization, installation quality, attention to detail, et cetera
If time allows, we liek for our cleints to meet with the project managers and superintendents who will staff the project.
We want to know if we are getting the A-team, or the B or C team? When can they realistically start? The Yankess or the little leage doesn’t keep their A players on the bench waiting…
We like to spend time with them, Coffee, lunch, or job site tours reveal how they communicate with field staff and how they prepare for meetings.
Questions we want to ask ourselves:
Does our Cleint click with them?
Do we like their pricing approach?
Can our Client work with them for 12 to 24 months?
Are they collaborative or controlling?
Do they follow through?
Did they plan well for your site visit?
Do they communicate clearly and consistently?
Interviewing Contractors
In your interviews, focus on operational fit:
How do they buy out subs and present bids to the owner?
Who attends weekly OAC (Owner, Architect, Contractor) meetings?
Do they manage plans digitally with current updates?
How are RFIs and submittals logged and handled?
How do they handle plan changes?
How is the project staffed daily?
How many projects is your assigned team managing at once?
Is the principal actively involved?
How are bills prepared, and what backup documentation is provided?
What is their billing and payment structure?
During site tours, review their posted plans, schedules, RFI and submittal logs, and permit or inspection documentation. These are strong indicators of how they will manage your project.
Assessing Experience and Stability
Beyond first impressions, evaluate:
Track record on similar projects
Financial stability
Depth and quality of subcontractor networks
Procurement and scheduling capabilities
Knowledge of local codes and regulations
Day-to-day staffing depth
Self-performed work versus subcontracted work
Document control and plan management
Clear, fair billing practices
Change order processes (are they fair or exploitative?)
Check References Thoroughly
Before you commit:
Contact the references they provide
Research projects they didn’t list by checking public building department records, as omissions often have a reason
When to Bring Your Contractor On
The answer to this questions requires it’s own article, and indeed even then it all depends. In short, timing your contractor engagement depends on your project stage:
Early (Concept): For preconstruction services, budget alignment, and schedule acceleration this could be the time to engage them - it could be on a simple fee basis for their time.
If you prefer flexibility: Cost-plus structures can work well, or wait until your…
Near Final Design: For competitive bidding and fixed-price contracts
For early starts: A cost-plus with Guaranteed Maximum Price (GMP) structure allows you to begin excavation or framing while capping financial risk
Why an Owner’s Rep is Invaluable Here
Hiring an Owner’s Rep like Align can protect you from many of these pitfalls. We know how to cut through sales pitches to evaluate a contractor’s true capabilities, ensure scopes are clear, and negotiate fair pricing while preserving quality. We sit alongside you during this “dating” process, protecting your money as if it were our own.
If your project is over $1M, if you have a tight timeline, or if you want to protect your investment and avoid costly missteps, consider engaging an Owner’s Rep before selecting your contractor.
Final Thought
Selecting a contractor is one of the most consequential decisions for your project. Take a deliberate, structured approach:
Date before you marry
Assess fit, experience, and communication style
Dive deep into financial and operational practices
Use site visits, meetings, and references to confirm impressions
Remember, the lowest bid can be the best bid - but you can’t make a good deal with bad people!
By taking these steps, and engaging an experienced Owner’s Rep to guide you, you will protect your budget, your timeline, and your peace of mind, ensuring your project is completed with the quality and care it deserves.
