Questions to Ask & Credentials to Request from Contractors

Everyone knows the perks of hiring outside contractors: Minimal paperwork, less supervision, and no ongoing pay once the project is done. But what about the pitfalls? The main drawback is that without proper research, you really don't know whom you're hiring. Questions about quality, timeliness, and payment will linger throughout the project, making you anxious until they are definitively answered.

That's why it pays to ask all the key questions at the beginning, before hiring a complete unknown to work for you.

How Long Have They Been in Business?

The first thing you need to know is how long a contractor has been in business. As you know, the world has more than its fair share of "fly by night" operations: people who are friendly and approachable until you pay them, and nowhere to be found afterwards. Defective work? Unanswered questions or concerns? Too bad -- the contractor who scammed you has moved on to the next unsuspecting town. This is the main thing to screen out in the beginning.

Ask the contractor not only how long they've been operating, but also where they are headquartered. You want to know there's a physical address to visit if there are any shortcomings with the contractor's work. No legitimate contractor will be shy about telling you where headquarters is. They encourage customers to investigate and feel good about hiring them.

Can They Put You in Touch with Previous Clients?

Next, seek contact information from past clients or customers of the contractor's. Some are afraid to ask for this because they feel that it is inappropriate or "going too far." But don't forget the nature of the client/contractor relationship. Unless the contractor was recommended by a trusted friend or colleague, you know nothing about them. Without speaking to past clients, you have no way to judge a contractor other than his or her own statements (which are necessarily biased.) Good contractors understand this and are not offended by the request.

On the contrary: contractors with nothing to hide (and a proud history in the field) are often happy to put you in touch with past clients. They understand that satisfied customers are their best marketing and would rather you speak with them than anyone else.

Do They Have Relevant Training or Certifications?

Naturally, you will want to make sure that contractors have the needed training, experience, or education to do their jobs. Exactly which kinds of credentials they should have depends on their work. For instance:

• An accountant should have a CPA;
• A lawyer should have a JD (and be licensed by the Bar in your state);
• A project manager should have a PMP certification;
• A computer programmer should have a BS degree in computer science.

Here, again: don't feel shy about verifying these types of qualifications. You're looking for a contractor, not a spouse or new best friend. Since it's a strictly business relationship, it's only common sense to make sure the contractor you have your eye on really has what it takes to deliver the goods. Running a contractor's name (or business name) through your local Better Business Bureau never hurts, either.

Are the Payment Terms Reasonable?

Some lines of work have traditional payment terms, like half up-front, half upon completion. Others are more accustomed to Net 30 or Net 60, where payment is disbursed 30 or 60 days after completion. Whatever the situation may be, you need to be aware of it before any work begins. By not spelling out the payment terms in full, the contractor can halt work or cut corners by citing imaginary "payment problems" -- or try to insist upon being paid early. These kinds of disputes do nothing to speed work up and only create resentment between both parties.

Don't rely on just asking the contractor, either. Do some preliminary research by calling several contractors (even those you have no intention of hiring) to ask what the typical payment terms in that sector are. This way, you can evaluate what any given contractor tells you with more perspective.

Will They Offer Self-Admitted Weaknesses or Shortcomings?

Even the best contractors know they can't do it all. Everyone has weaknesses or shortcomings. As a prospective client, be pro-active about asking contractors to explain what they aren't best at, in addition to what they are best at. Obviously, this questioning wont force a scam artist to come out and say "well truth be told, we rip a lot of people off." Rather, what you're looking for are statements like:

• We really aren't suited to handle jobs this big.
• We work best with clients who have a certain budget.
• Outdoor work is not our strong suit.
• The more time we have to work, the better.

In other words, you are seeking honest admissions of what the contractor does not excel at. Ideally, you want a contractor whose weaknesses are irrelevant or minimally important for your job. On the other hand, contractors whose weaknesses fall squarely within what you need done can be politely turned away.

About the Author: Mitch Harris is a freelance writer for Lennar. Lennar Corporation is one of the nation's leading builders of quality homes for all generations. Potential buyers can find Woodbury new homes as well as Minneapolis new homes for sale.