As subcontractors expand, they encounter larger contractors who have experienced commercial teams whereas the subcontractor moving up rarely has the same level of commercial expertise. This create an unfair contractual advantage for the main contractor & significantly increases the risk profile of the project for the subcontractor.

If you don’t read understand the contract firstly, you’re unable to negotiate those clauses you see as unfair, & second, you’ll find it difficult to comply if you don’t know what you’re supposed to do.

If you don’t have the expertise, hire someone to review the contract at tender stage. In doing so you have given yourself the opportunity to understand the contract, by doing so you’ll:

  • De-risk the project by mitigating those clauses which added unfair risk
  • Understand how to administer the contract, thereby increasing your ability to ensure maximum entitlement & return.

As a growing subcontractor it’s unlikely you will have the financial resources to weather a serious contractual event unscathed.

These events may not happen often but when they do, they can be significant, however most are avoidable if the above is followed.

Even good clients can turn, if they’re feeling pain they rarely want to suffer alone.