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General Business Discussions

A place to talk about general business discussions.
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  #1  
Old 10-26-2009, 09:52 PM
TnT Outdoor ervices
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Default General Contractors

I have a couple of guys that work for me and I was paying them "under" the table. The money is starting to get tight. With cash that is. I told them that I was going to start paying them with check and 1099 them at the end of the year. They said that would be fine. What i'm looking for is a contract that one of you might have that I can have them sign so that both parties are on the same page. I told them that they would have to do their own taxes. I will not provide insurance and no wokers comp. And no unemployment. I just want to pay them and they can take care of the rest. So does anybody have a contract for me that I can use?
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  #2  
Old 10-27-2009, 12:51 AM
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Default Subcotrctor agreement

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Quote:
Originally Posted by TnT Outdoor ervices View Post
I have a couple of guys that work for me and I was paying them "under" the table. The money is starting to get tight. With cash that is. I told them that I was going to start paying them with check and 1099 them at the end of the year. They said that would be fine. What i'm looking for is a contract that one of you might have that I can have them sign so that both parties are on the same page. I told them that they would have to do their own taxes. I will not provide insurance and no wokers comp. And no unemployment. I just want to pay them and they can take care of the rest. So does anybody have a contract for me that I can use?
I looked into that a while back. decided to go payrole for a chance on government jobs. Try http://www.rocketlawyer.com/document...FQKdnAod7iUcMg

Steve
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Old 10-27-2009, 04:27 AM
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I looked into that a while back. decided to go payrole for a chance on government jobs.
What does that mean?


Also how important is it with this contract that the sub-contractor agree not to work on any side projects with your customers for say at least a years time?
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Old 10-27-2009, 04:38 AM
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Originally Posted by TnT Outdoor ervices View Post
I have a couple of guys that work for me and I was paying them "under" the table. The money is starting to get tight. With cash that is. I told them that I was going to start paying them with check and 1099 them at the end of the year. They said that would be fine. What i'm looking for is a contract that one of you might have that I can have them sign so that both parties are on the same page. I told them that they would have to do their own taxes. I will not provide insurance and no wokers comp. And no unemployment. I just want to pay them and they can take care of the rest. So does anybody have a contract for me that I can use?
All I can suggest is check the rules and laws where you live, Workers Comp, EI, Tax and pension plan are not an option here unless ther own a registered business then the ball is in their court and you are off the hook so to speak.
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Old 10-27-2009, 09:26 AM
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What does that mean?


Also how important is it with this contract that the sub-contractor agree not to work on any side projects with your customers for say at least a years time?
Sub-contractors and insurance were an issue here in South Carolina. My insurance would most likely cover subs. For government jobs, I would have had to submit certification of liability insurance not only for me but for any sub-contractors and verify coverage monthly.

As for sub-contractor side projects for my customers, I decided not to use subs so I didn't pursue any farther.

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Old 10-27-2009, 03:58 PM
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As for sub-contractor side projects for my customers, I decided not to use subs so I didn't pursue any farther.
Steve can you tell us a little why you decided against it? There may be a bunch of readers on the fence with this topic and you might point out issues they hadn't thought about yet.
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Old 10-27-2009, 10:33 PM
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Steve can you tell us a little why you decided against it? There may be a bunch of readers on the fence with this topic and you might point out issues they hadn't thought about yet.
The states wants more companies that hire people to keep them off unemployment. Jobs that collect and pay for unemployment insurance, workman's comp, etc. Companies that are licensed, insured, for the most part local. You have a much better chance of getting local and state government jobs if you have your own company hires.

Because sub-contractor's are notoriously "fly by night" and few have insurance, they have little chance of getting those jobs. I was told that to get such jobs, subs would sign up of insurance, get the certificate of insurance and then never pay for them. That is why they now require certificate of insurance updated monthly. I didn't want to be in a position where I had to be an investigator to keep up with CI's.
And, I feel employees will be more dependable and loyal.

Steve
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