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Subing out and insurance

Mark,

I've been doing stripping/recoating for a few months now with very good response, i do about 1-3 jobs a week just recoating. Recently i hooked up w/ a local floor store that installs and sands hardwood, they have send me 2 jobs so far that they used me as a sub(never met the client and the store payed me directly), that was for my recoating process. I have had several clients which in the past we had to say no to their jobs, and now it's gotten me thinking i should sub out some of the work to the local store that sands floors.

I know you've been doing this with your Angie's list guy. So instead of me passing the lead over to the store i thought of selling the job under my company name and having them do it and charge me for it/pay them directly.

What have you done for in terms of your insurance. I know you've said they carry their own insurance, but since you are writing the contract up under your company's name aren't you still liable for all the work if something were to happen? Did you have to tell your agent on how to go about subing the work out?

Any pointers you can give will be great towards the liability/insurance aspect, as i have some work for these guys but havent sat down and spoke to them yet.

Their sanding is from 1.50 to 2.50, i'll try to find out what's the variation this week, so i can get a wholesale price down. What i really need is a dust free sanding crew.

Bill

Re: Subing out and insurance

Bill-
Hire them as 1099 sub Contractor have them fill out the form, retain a copy of their insurance for your records,create a seperate job invoice/contract per job.

Re: Subing out and insurance

To Bill: I do it the way Jeff describes.
As far as rates go, I basically try to make .50/s.f.
on each job. My refinisher sub charges me 1.25/s.f. for a job involving sanding followed by putting down three coats of oil-based polyurethane. (the pros call this OMU). I'll charge my customer 1.75 for this. When he brings along his Clarke-American dust-containment equipment (which is most of the time) he charges me 1.50/s.f., which I bill at 2.00. If the customer wants a water-based finish, or tung oil (Waterlox), he charges me .25 more, which amount I just pass along to the customer. For a screen & recoat job, he bills me .50/s.f., and I charge 1.00.
On an sanding job, he charges me $200 for a flight of stairs (treads only) which I invoice at $250 or $275. If risers also need to be sanded, that's another $200 which I just pass along without adding to it. When stain is involved I am charged .25/s.f., and I charge the customer .35 or .40/s.f. There also might be costs for removing old carpeting, making repairs to the floor, and moving furniture, and I usually just pass these along. All my wood floor marketing focusses on DUSTLESS wood floor refinishing.

Re: Subing out and insurance

Great,

Thanks guys that's what i wanted to know.

I gotta find out if these guys are using dustless machines as well, that's the only way i'd want to sub them out.

Re: Subing out and insurance

Found out that the store that ive gotten some recoat jobs is actually subing out their sanding crew, so i plan to just work out some sort of referral fee with them most likely, as i would prefer to sub out the actual business and not their subs since i'd have to go thru the store.

Got a meeting w/ them on Thurs.

Had 3 hardwood estimates that were sanding jobs just this past weekend.