These 3 things can save developers upwards of $100,000 on projects with budgets over $1 million.
1. Does Your GC Hire Subs with Multiple Specialties?
This is a huge cost savings measure.
Think about it this way. Let’s say you have a subcontractor that can handle all the interior work.
That sub is way more efficient and cost effective.
Their ability to string together similar work saves you money. It's also easier for them to make changes or fixes that affect related trades.
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By employing multi-specialty subs, you can cut the cost of your project significantly and save some serious money on the whole development deal.
2. Is Your GC Properly Tracking Your Schedule?
You already know, time is money. Every week you’re behind adds up and drains your bank account.
If your GC can’t anticipate scheduling issues, you’re going to lose money.
Experienced commercial general contractors can see scheduling issues coming from a mile away. Your GC needs to know why projects get behind and needs to find ways around this.
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Additionally, your GC should be the one talking to the bank to protect your schedule and your finances.
If your general contractor is really on top of their game and doing their best to keep you on schedule, they are the ones that need to explain to the bank why they’re ready for the next phase.
If your GC isn’t doing this, you might be losing money unnecessarily.
3. Is Your GC Managing Your Budget Correctly?
Your GC needs to be sure the work they’re doing is covered by your budget.
So many “industry pros” are doing this wrong. Are they using the newest software to ensure accuracy? Do they know what to anticipate? Can they catch red flags before they become money pits?
Just because they’ve been around the block, doesn’t mean they know how to properly track a budget.
Even with new software and seemingly good budgeting, they still may not be able to catch budgetary issues.
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It’s important for contractors to be able to identify budget issues before they arise and become real problems.
When an experienced contractor looks at a budget, they can see the bumps in the road ahead—and they should be able to plan for it.
If your GC can’t do this, they’re not properly tracking your budget and might as well kiss an extra $100k goodbye.
Seems Simple, Right?
Maybe in theory, but not every GC is doing this. If you want a free consultation to see how you could make an extra $100k on your next project, book a call with us today.