Protect Yourself: Contractor's Agreement Tools
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Steve Cook's Personal
Yucky
House Contractor's Agreement
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By far, one of the most
challenging hurdles for any "fix and flip" investor trying to make an
honest buck in the rehabbing business is working with cont ractors.
As the owner, you want
to
ensure that the project is completed within the planned timeframe and
budget. This is your deal, and you know the timeframe and
finished
product needed in order to make it work. And you
envision the picture
perfect scenario of outsourcing the labor to a contractor and/or
sub-contractors, and having them accomplish just exactly that.
But all too
often, the picture changes, doesn't it?
Before you know it, you're
over budget and WAY
over time, and trying to salvage your deal. And instead of the
"picture perfect" relationship you expected with your contractor, you
feel like you're working more against each
other than with each other towards a common
goal.
FACT:There can be a lot
of reasons for a project to run over time or over budget, without
question the biggest culprits are...
Maybe
see a pattern here?
That's right. Communication
is the key.
If you've ever managed a rehab project,
then you already know EXACTLY what I'm talking about
here. If you haven't yet, then believe me, you will.
The fact is, these issues -- which
constantly wreak havoc to the bottom lines of any number of fix and
flip transactions -- are largely avoidable.
All you have to do is (you guessed it) COMMUNICATE...and
do it IN WRITING and IN ADVANCE.
Enter Steve Cook's Yucky House Contractors
Agreement.
This is the actual contractor's
agreement that master house flipper Steve Cook had personally designed
for his own flipping houses business. And with it, he's been able
to
virtually eliminate the hassles of miscommunication that most rehabbers
are plagued with.
It's like a logical blueprint that, if
followed, walks you through clearly communicating the key, most
important issues involved with any rehab project.
With this agreement, both you and your
contractor will know exactly what's expected of each other, within what
time frame, to what level of quality, and at what price. It's
very,
very comprehensive - and it's based on how Steve runs his own business
today.
But it didn't happen all
at once.
This document actually started out
much
smaller and far less comprehensive than it is today. But as
Steve's
flipping business has continued to grow and prosper, so has this
agreement. And today it's absolutely one of the most
comprehensive,
fair, well-thought agreements of it's type.
Friend, don't even think about using the
"standard" agreements you'll find at office supply stores.
They're
entirely too generic and, well, STANDARD.
That's NOT what you
need. You need something that's been designed by an
in-the-trenches
investor, who understands the ins and outs of this business, the most
common pitfalls to avoid in the contractor/investor relationship, and
has actually experienced it.
Just about every clause of this
agreement has a story tied to it - a real life lesson plucked from
Steve's own business that opened his eyes to a communicatoin hole that
needed to be plugged.
At this point, this agreement has become
a work of art, and is the very backbone of stability in Steve's
day-to-day fix and flip business.
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"Steve’s Yucky House Contractors Agreement is very detailed.
It made
me think long and hard about how I wanted the final renovation to look
in terms of quality. This document encourages you to do your homework
and communicate clearly with your contractor. It leaves very
little
room for miscommunication errors. It’s well worth the
expense." - Mark
Patro
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What's in it for you?
This should be obvious to you by
now.
You'll get access to Steve's exhaustive, custom made, Contractor'
Agreement. We're talking hundreds of hours and many thousands of
dollars of hard lessons learned, the fruits of which you can experience
through this agreement without going through them yourself.
- Avoid confusion between
yourself and the contractor
- Ensure clear-cut
expectations of the quality of workmanship and materials expected
- Set a realistic budget and
payment schedule tha'ts fair and understood
- Minimize frustration over not
knowing what should be done, or when.
- Use a "scope of work" to keep
everyone's expectations accountable and on-track
- Much more
 You do NOT need
Steve's Contractor's Agreement to ensure success.
...but
it could sure help take a lot off your learning curve.
:-)
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