Contractors: Protect Your Business

Contractor

 

One missing  document can become very costly for Contractors. Here are 5 tips to protect your business and save you money.

1.Your Subcontractor’s Work Comp Exemption Cert is not Enough

Many contractors think if their subcontractor provides them a Workers’ Compensation Exemption Certificate that they are covered. If an individual is hurt on your jobsite, the exemption certificate isn’t enough. Your Subcontractor Agreement needs to include a Hold Harmless clause.

A complete subcontractor packet should include:

– Signed Subcontractor Agreement (including the Hold Harmless clause)
-Certificate of Insurance and/or a W/C  exemption certificate
-Competed and signed W-9
-General Information Sheet (addresses, phone #’s, email, etc.)

2.  Manufacturer’s Installation Instructions

If you are a home builder, the manufacturer’s installation instructions now take precedence over the MI Residential Builders Code. A copy of the manufacturer’s installation instructions for everything that you’ve installed (windows, siding, roofing, etc.) are required to be onsite and available for the inspector to review.

3.  Accident Prevention Program

OSHA is not just going after “the big guys”. They’re apparently behind in their fine quotas because they are visiting job sites of all sizes.

Smaller contractors often overlook the “accident prevention program”, which is a safety program. This downloadable doc is available through OSHA.gov and should be completed and the first pages of the job binder on site. This is the first thing OSHA looks for, if it’s not in the binder, violation and fine #1.

4. Facilitation over Arbitration in your Contract

Even a well-written contract is expensive to defend if your customer breaks it. In the event of dispute resolution, specify facilitation rather than arbitration in your contract. Arbitration can be a long, drawn-out process that will tap your resources and delay your projects.

5. Use the FREE Resources Available

Contractors and business owners can protect themselves by using the free resources available to them:

MIOSHA office (walk into the Lansing office and leave with every poster, brochure, document, etc. that you need – at no charge)
Department of Licensing and Regulatory Affairs (LARA)/MIOSHA website (checklists, blank documents, helpful hints and much more)

Protect yourself and your business by using available resources and you’ll be on your way to building your future success!