REFERENCE CHECKS

Whichever method you have used to find a builder/contractor, it is advisable to satisfy yourself that he is capable of carrying out the works to the standards that you expect and that he is in a position to finance the initial stages of the work. If the contractor has not come via recommendation, ask him if he has any objection to showing you projects of a similar size which he has carried out.

You could ask the builder/contractor for written references from satisfied customers and for contact numbers for taking up references from other sources, such as suppliers.

In addition, there are agencies that you can contact to carry out credit checks, which you may decide to use if you feel that your chosen builder may not be in a position to finance the initial stages of the project. Your bank may be able to advise you on the best course of action in this regard.

One thing to bear in mind when carrying out reference checks is that if you do not find out anything about your choice of builder/contractor, and the project did get into difficulties which subsequently meant that the builder/contractor was unable to complete the project, the next builder would be likely to charge more than the going rate to take over, and would be justified in doing so.

This is due to the fact that he will need to inspect the work that has been carried out, to ensure that all of the material installed complies with the building regulations and conforms to health and safety requirements.

Depending on the nature and reason for the change of builder/contractor, the new contractor may have to remove works that have not been installed to the correct standard. This may have obvious additional financial consequences. He may even have to interrupt his scheduled work or employ labour at short notice from agencies, which would also incur additional costs.

PORTFOLIOS OF WORK COMPLETED

Builders/contractors with a comprehensive photographic portfolio are generally client-orientated and only too willing to help with design input to finishes. If you are not very good with interior design, remember that builders/contractors by the very nature of their work are constantly working on other people’s property and may be able to offer good ideas and advice.

In fact, this is also a good opportunity to ask to see some samples of work that the builder/contractor has carried out for other clients. Go to see the work itself most people would not object to this, particularly if the project was satisfactorily completed within time and budget.

Note: Most building projects rarely finish on time and budget. However, there are usually justifiable reasons for this, which is where good project management and record keeping is the key to successfully completed projects.

INSPECTING THE COMPANY SET-UP

It is worth taking the time and effort to visit the prospective builder/contractor’s office set-up as this will give you some idea of his professionalism. If you find that his office and yard are messy, this may indicate how he operates on site – it would be fair to say that people whose own office, yard or home are very tidy and organised would be more inclined to operate on site in a similar fashion.

You will find that by taking the time to carry out these checks, you will get an understanding of the contractor’s capabilities. This will help in your decision-making when you come to choose who to carry out the work.

ESTABLISHING INSURANCE COVER

Most reputable builders/contractors will have adequate insurance cover. However, it is important that they confirm to you that they do so.

The types of insurance cover that the builder/contractor should have are:

• employer’s liability – this is a good indication of responsibility;
• public liability – it is advisable to insist on this;
• contracts works cover – this is a must.

Employer’s liability

The Employer’s Liability (Compulsory Insurance) Act 1969 requires all employers (with limited exceptions) to maintain insurance cover for their own potential liability to employees. There have been some changes to this Act, which was brought into effect from 1 January 1972, with, for example, the minimum amount of cover being raised from £1m to £5m in 1999.

Public liability

Public liability insurance is important, as this will cover any persons who are injured during any building works as a result of the act or negligence of the builder/contractor.

Contracts work cover

Contracts work cover or similar is also very important, as any damage caused to your property will be rectified at the expense of the builder/contractor’s insurance and not yours. Types of damage could include inadequate weather protection or negligent work methods leading to damage, fire, flooding, etc.

Requirements of your own insurance

It is advisable to contact your own insurance company to ascertain what is needed, as there may be a clause in your own insurance policy that requires particular types of insurance to be provided by the builder/contractor before he carries out any work on your property.

Your own insurance may be invalidated if you do not inform your insurance company of any building works being undertaken, particularly where scaffolding or excavations are involved. Your insurance company may ask you to provide copies of the relevant policies held by the contractor.

Needless to say, it is advisable not to allow any building work to be carried out by uninsured builders/contractors.

INSPECTION OF EQUIPMENT

When carrying out any visual inspection of sites or projects being undertaken by potential builders/contractors, it is worth taking note of the condition of the equipment that is being used.

If the equipment is old and rusty, or if there are electrical leads running on the ground, this would give an indication of poor standards of work and health and safety.

As a rule of thumb, sites that not only look clean and tidy but also use bright clean equipment would indicate good standards all round. If hired equipment is being used, it may not mean that the builder/contractor can’t afford it but that hired equipment is usually very well maintained and storage facilities are not required.

If the builder/contractor is using 240 V power and has 240 V leads running around the site, he is putting everyone involved in the project at risk. Sites are required to use only 110 V equipment.