We have created this guide of common mistakes made by some contractors, so you can recognize them and avoid these mistakes before you make them yourself.

1 – Working Without a License
The number 1 and possibly the most damaging mistake an individual acting as a contractor can make is taking construction work without a license. First-time offenders face up to 6 months in jail and/or a fine of up to $5,000. We know getting a contractor’s license takes time, money, and a lot of studying, but having a license is a must and the consequences of not doing so are quite serious in California. There are legal licensing alternatives to the exam, which may be of interest to you. One of them is by working under a Responsible Managing Officer (RMO) for 5 years and then qualifying on your own. RMO Agency can find an RMO in your area and help you get licensed without taking an exam. Never work without a license or you take the risk of getting caught by CSLB.

2 – Hiring the Wrong People
Unfortunately, the construction industry is littered with sub-par workers. Whether by choice or by circumstance there are many workers that just don’t have the skill and/or the work ethic. It is important you surround yourself with hard-working, skilled people you can trust, so they represent you and your company as you want to be represented by your customers. Be sure to thoroughly vet anyone you bring onto your job site.

3 – Not Paying the Proper Attention to Safety
As they say “safety first.” The construction industry is disproportionately affected by accidents and injuries. Without proper measures in place, you risk putting your workers in danger which could also affect your costs and timelines as well. Safety training shouldn’t be a one-time event. Regulations are always changing; your workforce may change as well — which means you should be scheduling regular training meetings to ensure proper safety is always at the top of everyone’s mind. Safety starts by having the right equipment (wearables, interconnected devices, heart rate monitors, etc.) in place and training employees on how to use them.

4 – Not Remembering to Hydrate
Along with safety, hydration is key. The human body’s best method for overcoming heat is sweating, but in order to produce enough sweat to cool our bodies, we need to stay properly hydrated. The best way to stay hydrated is water, not juices, sodas, or energy drinks. Just simple clean, cool water. Water is your crew’s best friend. Make sure to provide water on every job site, even if it’s cold out. Also, especially if it’s hot, make sure your team is taking frequent breaks and sipping small amounts of water often.

5 – Bad Estimating
These days, good accounting means good accounting software. Your company must be able to estimate project costs by considering the material, labor, and supplier costs. This allows you to provide more accurate quotes to your customers and will avoid underestimating your expenses. Estimating software can be very helpful as you can get the right estimate by entering specific details that include cost per square foot of material or the cost per hour of labor. Good construction software and the ability to use it are key. In this day and age, if you are still using manual techniques for budgeting, estimating, or preparing building plans, you are making a big mistake. The right software will lower your costs while increasing your accuracy, productivity, and quality of work.

Tips 5-10 will be in next month’s newsletter.

You should never walk off a job without knowing this, you could be liable.

For tips and strategies for handling complaints and what to expect from the process, see the full Complaint Resolution Series HERE

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