The construction industry creates around $2.1 trillion of structures in the US every year. And general contractors play a key part in making these projects happen.
But what does a general contractor do? General contractors, also known as GCs, oversee projects to make sure everything goes well. These projects range from simple home remodeling jobs to complex commercial projects.
GCs typically don’t do construction themselves. Instead, they hire subcontractors and make sure they do the work correctly. If you love managing people and projects, this could be the career for you.
Here’s a guide to what GCs actually do and how to become one.
What’s a General Contractor?
GCs manage residential and commercial construction projects. They work with architects and clients to realize a customer’s vision. They also make sure the project complies with plans, budgets, and local laws.
GCs need to hire the right people for every job. For example, they bring on expert plumbers and electricians to complete specific tasks. That’s why many GCs have relationships with subcontractors they already trust and like working with.
Logistics are also at the top of every GC’s to-do list. They must:
- Determine the order of work
- Make sure the project follows the plan
- Hire specialists
- Speak with customers
- Apply for permits
- Manage the project’s finances
What Does a General Contractor Do?
GCs work on all types of general construction projects. They can oversee everything from remodeling residential homes to building skyscrapers. Because of this, GC pay and responsibilities vary by project.
In general, GCs do similar tasks on most jobs.
Before Construction
- Develop a Construction Budget. General contractors have to estimate the cost of the project. This involves pricing subcontract work and materials. GCs should also research how much general contractors make to know what to charge.
- Create a Construction Marketing Plan. Sometimes, GCs compete with others for a job. They must make a marketing plan to convince customers to use their services. They may also need to submit a formal bid. This is especially common for commercial or government projects.
- Interface With Clients. GCs work with clients to agree on the scope of the project. Both must understand the cost and desired outcomes to avoid miscommunications. It’s also common for a GC to ask for a deposit before a project starts.
- Hire Subcontractors. Subcontractors perform most of the labor. GCs must build a team of qualified professionals. This could include electricians, plumbers, and drywallers, but it depends on the project.
- Collaborate With the Architect. Architects draft plans for large construction projects. GCs work with them to make sure the build meets the client’s specifications.
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During Construction
- Oversee Work. The GC checks in with subcontractors to make sure the work is to standard. It should meet the specifications in the contract and local code.
- Coordinate Specialty Contractor Timing. There are lots of moving parts in construction projects. General contractors schedule subcontractors at appropriate times. For example, this means making sure electricians finish electrical wiring before drywallers come.
- Keep the Project on Schedule. Delays anger customers and cause cost overruns. GCs take responsibility and make sure workers perform tasks on time. If things are behind schedule, GCs communicate and adjust accordingly.
After Construction
- Pay Specialty Contractors and Vendors. After subcontractors finish their jobs, the GC pays them.
- Manage Payment Issues. GCs need to make sure customers and clients pay for services. They may want to offer financing or collect payment in full as a lump sum.
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What Licensing Does a General Contractor Need?
GCs must get a contractor’s license in most states. Many municipalities only give construction permits to licensed contractors. And most insurers only work with licensed contractors.
Licensing rules vary by state. You need to check with your local Department of Labor and Industry to find out what requirements apply to you. You may need to complete exams and provide documented proof of experience and education.
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4 Qualities You Need To Be a General Contractor
If you’re interested in becoming a GC, here are some qualities to have:
- Professionalism. You’re the face of every project, so you have to communicate well and put your best foot forward. Maintaining a high degree of professionalism in all interactions inspires trust both with clients and subcontractors.
- Self-Awareness. Being a good manager isn’t easy. Know your strengths and weaknesses and be aware of your role within the project. Your goal isn’t to dominate, but to make your client’s vision a reality.
- Experience. You can’t manage projects if you don’t know what they actually look like. That’s why you should have some experience in the building trade. It also helps you judge the quality of subcontractor’s work.
- Passion. Construction projects need time, effort, and diligence. Make sure you care about the work and making each project a reality.
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