Since the surge of major natural disasters, such as Hurricane Sandy, the horror stories accompanying shady contractors have increased. Therefore, New Jersey homeowners are weary and understandably cautious of who they hire. As a contractor, it’s essential that you are able to reaffirm trust with these homeowners. Establish a positive reputation and increase your clientele by taking a look at the best practices for New Jersey contractors.
Best Practice #1: Do not walk door-to-door to acquire business. Homeowners are more comfortable asking their friends and family for referrals. Build a positive reputation within the New Jersey housing community and connect with building professionals (e.g. architects and interior designers) in the area.
Best Practice #2: Homeowners often shop around for contractors. They often draft a set of interview questions for prospective contractors. Be ready to answer common queries, such as:
- What experience and expertise do you have?
- Do you hire subcontractors to complete the project?
- How many jobs will you be working on at the same time?
Best Practice #3: Homeowners are often instructed to contact their local building inspector’s office to ensure that the contractor is licensed in New Jersey. Be prepared to provide licensing information and references.
Best Practice #4: Homeowners are cautious when signing any contract and/or making any payments. When drafting a written agreement, ensure it includes the following:
- Legal name & business address, contractor’s name, address, phone number and state license number
- Estimated start and completion date
- Financial terms (total price, payment schedule, method of payment, finance charges and cancellation penalty)
- Specifics of the contractor’s responsibility
- Specification of all materials and products to be used or installed including size, color, model, year, capacity, brand, quality, grade, and quantity
- Statement of any warranties on products, materials, labor or services
- Binding arbitration clause
At Tri-State Insurance Agency, we provide a complete suite of insurance products and services to the broad contractor segment with property, liability, New Jersey workers compensation insurance and Sussex County surety bonds among other key coverages to cover the exposures that are inherent in the industry. Tri-State Insurance Agency provides a comprehensive business insurance portfolio for companies throughout Pennsylvania, northern New Jersey and New York. Give our professionals a call toll-free at 888.990.0526
Sources: CBS New York