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Re: Contractors: Run Credit Checks for Questionable Customers?

Subject: Re: Contractors: Run Credit Checks for Questionable Customers?
From: Annamaria Profit <inteltek2 -at- earthlink -dot- net>
To: "TECHWR-L" <techwr-l -at- lists -dot- raycomm -dot- com>
Date: Fri, 17 Aug 2001 16:00:17 -0400


Hannah and Andrew,

For the entire length of my contracting career, I have required a 30%-50% retainer before even beginning work. I learned that practice working for dumber-than-dirt advertising agencies who, 10 months into a multi-million dollar contract, were still fronting all the out-of-pocket costs, and from previous experience with building contractors, who would not proceed without funds drawn at regular intervals from a bank-sponsored building fund. My latest client pays the full amount up front--their choice--probably to guarantee a fixed fee, even with revisions. (I've never asked them why they're doing it.)

"A laborer is worth his/her hire."


At 12:50 PM 8/17/01 -0400, Hannah wrote:

> Andrew Plato wrote:
>
> |
> | No they don't. I would never pay a contractor up front for work. Never,
> | ever. How do I know the contractor won't take my money and just run and
> | never do the job. Do you pay the plumber, lawyer, or doctor upfront? No.
>
It is reasonable to expect a percentage down, however, I believe the
suggestion of a well written contract protecting both parties rights is
essential. That is how the company can be protected in case you do "take the
money and run".

Hannah Bissell
SI - ECC
to -dot- hannah -at- usa -dot- net

Annamaria Profit
CI Services: Business Communications for the Next Millennium
E-mail: inteltek2 -at- earthlink -dot- net
URL: http://home.earthlink.net/~inteltek2


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