I want to hire a contractor for some remodeling work. What is the process to request a bid?
Before starting any construction project, you need to define the project by its type and scope of work. Project definition and scope of work will be needed to provide adequate detail to selected candidate contractors to submit a bid based on your specifications.
You should research your state and local requirements for building standards and codes, and licensing laws and requirements. This is important because many states address construction issues by statute to define which tasks must be performed by licensed contractors and set maximum dollar limits for which a license is not required no matter what the type of work. Local city or county building and code regulations may also apply.
As a first step in the process, you will need to research names of local contractors by trade to identify potential candidates for a bid request. There are a variety of sources that can provide listings of contractors by trade for your area. However, word of mouth referrals from people you know who have recently had work done can be the easiest and often the best source of information.
Once you have identified several potential candidates for your project, for each contractor you will need to verify that the contractor’s license is current and in good standing. Your due diligence should also confirm each contractor has the applicable business license for the jurisdiction of your location and carries required insurance coverages for liability and workers comp. You will want to obtain work references from each contractor for recently completed projects similar in scope to your work project.
When bids are received, you should review each bid for the referenced scope of work, detailed description of work per specification, project timeline, price, payment schedule, permit requirements, materials provided, and any other defined obligations of all parties.