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The Role of a General Contractor in the Construction Process

Table of Contents

The Role of a General Contractor in the Construction Process

In the construction industry, a general contractor is the person who oversees a construction project, ensuring that it is completed safely, on time, and to specifications. Homeowners often hire general contractors for their expertise in managing complex construction processes.

General contractors, commonly known as GCs, are essential for both intricate commercial buildings and straightforward residential projects. While specific tasks like replacing a roof or installing new flooring may not require a GC, any project necessitating the coordination of multiple phases or trades likely will. This is where Harris & Sons come in—we are ready to supervise your project and become your general contractor, bringing our extensive experience and professionalism to ensure your construction needs are met efficiently.

Read on to learn more about the role of a general contractor in construction, how to determine if a GC is needed, and how a general contractor is licensed and compensated.

The Role of a General Contractor in the Construction Process

Index

What does a general contractor do? 

  •  Pre-Construction 
  •  Vertical Construction
  •  Post-Construction 
  •  GC Licensing Requirements 
  •  Finding and Hiring General Contractors 
  •  General Contractors, Subcontractors, General Contractors, and Construction Managers 
  •  The General Contractor’s Role in Payments During the General Construction Contract 

The general contractor is responsible for carrying out the construction project  from start to finish, but what  does this really mean? Basically, the general contractor acts as an intermediary between the  owner and everyone who is revitalizing the building, including material suppliers, suppliers and craftsmen. The GC responsibility depends on the delivery method used in the project environment. For example, in a design-build project, the GC may be responsible for managing  the design and construction of the project. In a traditional design, bid, and build project, the GC begins work only after the architect has completed the design and specifications. GC has important tasks before, during and after the  construction process itself. 

 Before construction 

 Before construction begins, a general contractor may be responsible for some or all of the following: 

Creating and managing a construction budget. Hiring subcontractors to complete specialized tasks. Collaborate with the architect to ensure the design is realized. While all of these tasks begin before construction starts, the GC will continue to manage the budget, work with the architect, and interact with subcontractors throughout the remainder of the project as well. 

Vertical construction 

 While construction is taking place, the GC will likely tackle some of the following: Overseeing construction work by referring to construction specifications. Keeping the project on schedule.  Responding to schedule delays and other setbacks.

Overall, a general contractor’s role during construction is to ensure that everyone is working well together and reacting to challenges that could negatively affect the schedule or budget. 

Post  construction 

Once construction work is completed, a GC still has responsibilities, including:  Collecting and tracking lien waivers,  Ensuring that subcontractors are paid for their work. Managing issues with payments down the payment chain.  Since the general contractor is the main point of contact between subcontractors and the building’s owner, the GC ensures that work is completed to specification and then payment is disbursed.  In short, a general contractor manages all of the moving parts that make it possible to take a construction project from beginning to end. On most job sites, the general contractor assumes a managerial role while subcontractors complete the required labor. On small projects, the general contractor may do some  work on its own and only subcontract specialized work. 

General contractors are just one type of many  types of contractors, but they play a vital role in ensuring that projects are completed and that everyone involved in the construction process is paid. GC  Licensing Requirements Contractors are generally required by state law to be licensed, which also applies to general contractors. License  benefits  all agents involved in the construction project. Here are some of the ways  licensing requirements benefit all parties:  States and municipalities use licensing to regulate contractors and ensure  they meet insurance, tax and safety guidelines. 

Homeowners also benefit from licensing because they can find contractors who have proven to be reliable and trustworthy.  The contractors themselves are licensed, including the ability to protect their liens in many states. 

We have compiled state-by-state  general contractor licensing guidelines that examine the benefits of licensing rules and penalties for unlicensed contractors.  Working with licensed contractors is an important part of making sure  everyone involved in a construction project gets paid. 

The Role of a General Contractor in the Construction Process

Finding and Hiring General Contractors 

Working with good general contractors is an important step in driving project  success. When searching for contractors, consider the following: 

  • General Contractor Prequalification: Check GC’s work history and credit history for the quality of their work. Also hire contractors who have worked with  GC. This prequalification process can reduce headaches. 
  •  Understanding the warning signs: Be wary of any GC that exhibits typical warning signs of  bad contractors, such as improper licensing practices  or unprofessionalism. 
  •  Find payment profiles and reviews: Use publicly available reviews and payment profiles  to make sure  the GC you want to work with is trustworthy. 

Finding a good general contractor can help solve budget, schedule, construction and payment issues throughout the project, and Harris & Sons is ready to provide you with all of this and resolve all issues. 

General Contractors, Subcontractors, General Contractors, and Building Managers. 

Although general contractors play an important role in managing the entire construction process, they are not the only building contractors or managers. In most jobs, especially for large projects, many other functions are required. Here are some things to consider: 

  • Subcontractors:  GC hires professionals, called subcontractors, to perform specific tasks on a job. In a typical project, the GC is paid directly by the owner and the subcontractor is paid by the GC. 
  • Project manager: the person who signs the master contract with the owner is considered the project manager. In many cases, the prime contractor is also the prime contractor, but some project delivery methods require the prime contractor to be the prime contractor. 
  • Construction Manager: A construction manager (CM) has similar responsibilities to a construction manager, but is usually hired directly by the owner, who asks the GC to estimate costs, hire a CG, or perform other tasks necessary to manage a construction project. 

These are just some of the core members who work on  construction projects, and there are many  who work for construction companies in various capacities. 

The Role of a General Contractor in the Construction Process

The role of the general contractor in the payment process 

The owner usually pays the general contractor directly. However, payments during construction are often confusing, and payments to the  general contractor are no exception. General contractors are an important part of the payment chain, which is how money is transferred from owners to  subcontractors and suppliers at all levels. Generally, general contractors must collect payroll deductions from everyone working  on a project before they can send money and get paid themselves. But poor communication and visibility can slow down the process, delaying payments for all project participants. 

 Here are some issues the GC may encounter during the checkout process:  

  • Visibility may be limited.
  • The general contractor can only know its direct subcontractors, but not its own subcontractors or suppliers. 
  • The risk is inherent. If the general contractor does not obtain a concession waiver, it may be at risk of default.  Payments are usually conditional. 
  • General contractors must also meet payment requirements, complicating the flow of funds in the payment chain. 

Paperwork can be inconvenient. General contractors who collect hard copies of grant waivers before payments are issued can take weeks to ensure they meet all contract requirements.  Fortunately, there are ways to speed up  construction payments and make sure  everyone gets paid on time for their work. In general, increasing contractor visibility, simplifying procedures, and keeping the lines of communication open will help resolve late payment issues.

Conclusion

General contractors are crucial to the successful execution of construction projects, whether in Happy Valley, OR, or Lake Oswego, OR. They coordinate all aspects of the project, manage budgets, hire and oversee subcontractors, and ensure compliance with building codes and safety standards. By understanding the responsibilities of a general contractor, the licensing requirements, and the nuances of hiring and working with GCs, homeowners and developers can ensure their projects are completed efficiently and to the highest standards.

For those in areas like Tigard, OR, or Happy Valley, OR, working with a qualified general contractor can make all the difference in achieving a smooth, successful construction project. Harris & Sons are ready to take all responsibilities and tasks upon themselves, providing you with a seamless construction experience that meets the highest standards. With our expertise, you can enjoy peace of mind knowing your project is in capable hands.

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