Asked by: Pedrona Donald
business and finance construction industry

What is the difference between a contractor and a general contractor?

Last Updated: 5th April, 2020

A “prime” or “direct” contractor is a contractor that has a contract directly with the property owner. A “generalcontractor refers to a contractor in charge of hiring subcontractors and coordinating their work, keeping the job on track for timely and on-budget completion.

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Correspondingly, what is the difference between a general contractor and a sub contractor?

In direct contrast to a general contractor, a subcontractor is hired by a general contractor to perform specific and specialized tasks. They complete smaller projects that are part of a larger project or whole. Just like with general contractors, a subcontractor can be an individual or a business.

Also Know, what does it mean to be a contractor? contractor(Noun) A person who executes the building or improving of buildings. contractor(Noun) A person or company that performs specific tasks like electrical or plumbing work in construction projects.

Similarly, it is asked, what is the main difference between a builder and a general contractor?

Builders usually are not responsible for mechanical work such as heating and cooling units, electrical work or plumbing. A general contractor oversees a team of subcontractors and is viewed as the “big picture” guy.

Who is considered a general contractor?

A general contractor is responsible for providing all of the material, labor, equipment (such as engineering vehicles and tools) and services necessary for the construction of the project. A general contractor often hires specialized subcontractors to perform all or portions of the construction work.

Related Question Answers

Therese Freeman


Is a general contractor worth it?

A general contractor can be a major asset. Any general contractor worth his salt will have worker's comp insurance and thus protect you if someone falls off the roof. Fourth, they likely can get better prices on materials and labor. This is simply the nature of the business.

Montesclaros Awelan


How do general contractors find work?

Here are 10 tips for finding contract work fast:
  • Create a contractor CV – short, tailored, focused and targeted.
  • Market yourself on contractor jobs boards, using agencies and via networks.
  • Find specific contractor jobs and send a targeted application.
  • Follow-up contract job applications and chase agencies and clients.

Dimitri Kurzdorfer


What do you call someone who hires a contractor?

An independent contractor is a person, business, or corporation that provides goods or services under a written contract or a verbal agreement. Independent contractors are usually paid on a freelance basis.

Ticu Boisson


Do subcontractors need a license?

Licensed: Contractors have been granted a trade license as mandated by state and local laws. It generally requires passing competency tests about business practices and trade skills, paying a fee and proving insurance and/or bonding. Insured: All contractors you hire should be insured.

Yotuel Plagwitz


What can I expect from a general contractor?

7 Ways to Get the Best Work from Your Contractor
  1. Avoid Allowances. An allowance is a line item in the contractor's bid for something that's yet to be determined.
  2. Establish Good Communication.
  3. Keep a Project Journal.
  4. Track All Changes in Writing.
  5. Check the Work.
  6. Pay Only for Completed Work.
  7. Be a Good Customer.

Yago Giovanelli


What classifies someone as a subcontractor?

Subcontractor is a person who is awarded a portion of an existing contract by a principal or general contractor. Subcontractor performs work under a contract with a general contractor, rather than the employer who hired the general contractor.

Goar Valios


What does a general contractor license cover?

Licensed general contractors can perform a wide variety of work. It can be earthmoving, plumbing, electrical, foundations, framing, or roofing work. General Contractor Type B can perform general construction and building projects of both commercial and residential dwellings that are meant for occupancy.

Merab Kabalkin


What are the three most commonly used types of construction contracts?

Here are three of the more common types of construction contracts between project owners and contractors:
  • FIXED PRICE. Fixed price construction contracts, also commonly referred to as “lump sum” or “stipulated sum” contracts, are the most common types of construction contracts.

Loida Kanel


How many types of contractor licenses are there?

There are 7 types of the contractor license. Decide on your license class.

Jinlian Ortel


What is the difference between a certified general contractor and a certified building contractor?

Certified Contractor
Some states use "certified" to mean "licensed." A general contractor may also certify with various trade or government organizations. A contractor can win certification as a green builder, for example, building energy-efficient, affordable homes or offices.

Berenice Pomme


How do I become a general contractor?

To become a general contractor, you need at least a high school diploma, but there is an increase in a need for a bachelor's degree or at least an associate degree, plus years of construction industry experience. Regardless of education though, experience in the industry is the most important requirement.

Legarda Ciegielsk


What do you call a house builder?

Noun. 1. housebuilder - someone who builds houses as a business. homebuilder, home-builder, house-builder. constructor, builder - someone who contracts for and supervises construction (as of a building)

Maja Abdrahmanoff


How much do contractors make?

General Contractors (including construction managers) earn an average of $43.93 per hour, or $91,370 per year.

Faouzia Pauravi


What does a builders license allow you to do?

Residential Builders LicenseAllows you to do work on any single-family residence where the work is worth more than $2,000. Residential Remodeler Limited LicenseYou can do home improvement work worth up to $50,000. Residential Remodeler Unlimited LicenseYou can do any size home improvement projects.

Carrie Bierotte


How much do builders make an hour?

The average salary for a Builder is $14.93 per hour in the United States. Salary estimates are based on 4,129 salaries submitted anonymously to Indeed by Builder employees, users, and collected from past and present job advertisements on Indeed in the past 36 months.

Corin Muns


Is a construction manager the same as a general contractor?

A construction manager is hired by a property owner during the pre-construction phase of a project. In contrast, a general contractor is chosen by the client through a bidding process and becomes involved during the construction phase.

Claudie Terribas


How much does it cost to build a 2500 square foot home?

The average cost to build a house is $248,000, or between $100 to $155 per square foot depending on your location, size of the home, and if modern or custom designs are used. New home construction for a 2,000 square foot home runs $201,000 to $310,000 on average.

Ixone Pyjov


What is the legal definition of a contractor?

a person or business which performs services for another person or entity under a contract between them, with the terms spelled out such as duties, pay, the amount and type of work and other matters. An independent contractor is distinguished from an employee, who works regularly for an employer.

Lisabeth Marçalo


What is the job description of a contractor?

Job Description for a General Contractor
A general contractor hires and organizes all necessary workers for a construction job. He or she also provides materials, obtains necessary permits, schedule inspections, complies with all building codes and sees the project through to completion.