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Joined: Sep 2002
Posts: 131
T
Member
HotLine1 you are on the button! He gives me just enough money so I don't starve. I never seem to get caught up. You are right, I am doing his mark up. But what a mark up!!! often times 100%. It makes me look like a theif. What would your customer say if you were charging them $385.00 per low volt halo highhat. The can trim and lamp cost me $60.00. They can go the the local Home Depot and find the prices themselves. Rember these people are thrifty. After I present this rediculus price, the homeowner goes screaming to Joe the contractor. Joe then proceeds to reduce the price and tells the customer that he will absorb the difference. Makes him look like a prince and my company still looks like we are theives.

Joined: Apr 2002
Posts: 7,333
Likes: 7
Member
Tsolanto:
It may very well be time for you to say bye.
If you can't get away from him without loosing your $$$$$...how about this.
Try approaching him, and telling him that you don't want your reputation run into the ground by "gouging". Tell him you want $$ for extras, and let him earn his own money.
He's playing you. And what if he decides to "say goodbye" to you?? He can bring another EC in with normal pricing, and look like Guiliani did on 9/12/01. (PS, I happen to like Rudy) What if he goes Chapter 7/11, and leaves you hanging??? TIGHTEN UP YOUR RECEIVABLES, Don't get 3rd degree Burned.
John


John
Joined: Sep 2002
Posts: 131
T
Member
Thanks for the response John. You just may be right... This is a tough one...

Joined: Feb 2002
Posts: 2,233
H
Member
tsolanto,

As an inspector, if someone told me that he didn't do the work, Then I would require a second permit. 1 for the work that you are doing, and one for the work that another Lic. electrical contractor OR the homeowner was doing himself. I have seen this a lot and I do understand that some people can (?) do their own work. Again though, I make sure that each permit is seperate. I also try to make sure that your permit is for your job. What I mean is that when I see a signed permit by an elec. cont. and the wiring doesn't look good, I might call the contractor to ask a question to see that he is indeed doing the work on the job. I HATE it when somebody tries to do work under someone elses lic. You should make sure that the other elec. or homeowner takes a permit for their own work. If it fails, then it is their problem not yours. If they want you to fix it, then it should cost the, premium now. Because you have to remove what the other guy did, then wire it up correctly again.

Joined: Jan 2002
Posts: 1,457
E
Member
From what I read here it is time to get legal help and break away from this guy. 24K is waaaaaaaay too much for a builder to owe you. You are being taken advantage of big time. Sometimes it's hard to see when your stuck in the middle of it but from this end it is painfully clear. This situation could get ugly.

Joined: Dec 2000
Posts: 127
G
Member
See a lawyer. If you continue with this guy the receivable will most likely get higher as your reputation gets lower and the likelihood that it is more profitable for him to go bankrupt and start as a new business increases. How much are the other subs being held up for? If they are making him pay in full why can't he pay you? If you just quit working for him you probably will get nothing. With a lawyer(and I have a low regard for lawyers) you may get 50 to 70 percent, but that is better than the other two options.



[This message has been edited by gpowellpec (edited 10-05-2002).]

Joined: May 2001
Posts: 552
T
Member
We had an account kind of like that.It was for a manufacturer of custom portable bldgs.The guy was slow pay and a 1st Class A-hole.It seemed like we were always asking for payment for the previous 5 jobs.He would make a partial payment with a promise of more in a day or two to get us to start another building.When we finally decided that enough was enough,we had to file a lien to awaken the bum.It was a hard decision to make also because all of the work was T&M.,but you can only extend yourself so far.


Donnie
Joined: Jun 2001
Posts: 642
N
Member
suggest
1) You file liens on all work you have not been paid for in full.
2) From now on give tour extra/change order fair price only to him, Tell him he is the general and cutomer relations are his job. If he still wants you to give the customer the price give them the same price you gave him. When he discovers that no markup for him is in your price, you will have his attention.
3) Find another general to work with and commit more of you time to the hopefully more honest guy.
4) Raise your price to the current guy with a larger down payment asked for up front.
5) Be sure you charge intrest on late bills.
6) Tell him no more work will be started until all past due bill are caught up.
This will hopefully allow you to walk away slowly enough to have a chance to be paid. If he accepts these changes, and gets current on your bills, you may have a higher profit customer. I personally doubt he will accept the changes so be prepared to go to court.


ed
Joined: Oct 2000
Posts: 5,392
S
Member
I never have seen eye to eye with phone GC's, all they do is broker subs.
Sure they walk the walk, talk the talk, but they never break a bead, just make $$$ from the sweat of others....

Joined: Sep 2002
Posts: 11
N
Member
Tom,
This guy is so shadey.I think you know what to do but are afraid to do it.In the long run (YOU WILL BE OUT OF A LOT OF $$)...

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