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  • Bob Garza

Price Versus Value

Updated: Jul 11, 2019

Over the past few months, Talent Air has been contracted to either assist or replace under-qualified HVAC sub-contractors on projects for which they were contracted for. While we very much welcome that type of business, it generally seems to happen because the subcontractor of record had no experience or personnel to manage or handle the task for which they were hired.

The amount of time, money, and energy required by a general contractor to supplement and or replace a sub-contractor is quite formidable. I know you’re probably saying that “we’ve heard this a thousand times before, and that the budget comes first”….but does it really? Cost is cost, and regardless of if it happens at the front end or the back end, it still affects your profitability in pretty much the same fashion. Working to keep your construction costs in check is a daunting task that requires intensive background checks of sub-contractors, along with a thorough review of scope.

Price is rarely synonymous with value. Sometimes, the low-priced sub-contractor turns out to be an expensive mistake and may cost more in the long run, because perhaps they require more of your supervision. And let’s not forget what happens if you have a subcontractor that simply can’t keep up, which can also impact the performance of other, neighboring subcontractors. Talk about expensive!

Don’t discount the significance of using a quality sub-contractor for your project, and while this factor can add to the initial price tag, choosing the right professionals who can consistently deliver is often a smart investment. They have the experience, methods and process along with competent support staff keep your project moving forward, correct and on schedule.

Value is always the best option for your contracting business and selling that fact to the owners takes confidence and conviction, and if you cannot get that across to the owner, a question that you may sometimes need to ask yourself might be, “Is this really a job that my firm wants to do?”


Price vs. Value

#qualitywork #experiencedcontractor

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