How to Subcontract Painters: Managing Production | Hire Subcontractors | Start a Painting Business

How to Subcontract Painters: Managing Production | Hire Subcontractors | Start a Painting Business | Painting Business Pro
"Hire painters or subcontract to a Painting Company?
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Website: www.paintingbusinesspro.com
Facebook: / paintingbusinesspro
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In this video, I'll show you the easiest way to managing production in your painting business. This is the one area of the painting business that holds most companies back because they spend entirely too much time worrying about completing jobs... What suffers is marketing and sales.... What suffers is growth.
If you want to know all the details, find out about my course at paintingbusinesspro.com/course
How to Subcontract Painters: Managing Production | Hire Subcontractors | Start a Painting Business To get our FREE business startup checklist visit: paintingbusinesspro.com/busin...
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[@briandcare1]

First thing is learn a trade. I mean really learn it and become an expert. Marketing is alwasys just there and so are customers.

[@TheBrabham59]

Great video series, here in SC subs have to have WC and GL ins. Also I have found that if you pay the sub the minute the job is complete it can bite you as the job may not have been done to your standards, I always talk to the customer, look at the job, collect the check, then pay the sub, usually no more then 3 days upon completion. I know if they have not not the job right I will not use them again, and I tell them the same, but its an ouchy when you have to go back to fix a job youve already paid for.

[@rvingmontanezway103]

Hey Thanks for all your videos I just started my Small Painting Company here in Florida and found your channel.. I’m really hooked on and learning a lot from you I’m glad I found you here.. looking forward to get some of your products you offer.. o Have subscribed 👍🙏🇺🇸

[@die_hard_the_hunter2103]

Awesome!

[@west1381]

this video is amazing

[@edisonorellana]

awesome idea

[@stevepercival4774]

I think the subbies prices is gonna go up now

[@originalgoonies7625]

this video changed my mindset. thanks

[@PaintingBusinessPro]

Great!

[@MariaM-nb6kn]

Hi Erick my husband start a painting business, but a homebuilder invite us to bid a project for them, do you know how much is per square foot? or how we can bid? thanks

[@carloscossio1683]

Thanks men 👍🏼from south Florida

[@PaintingBusinessPro]

You got it!

[@csBlackpearl]

How do you deal with companies that have advertisements all over their vans and clothing... Doesn't that confuse customers as to who they hired?

[@josemateohernandez1]

this is a really good question

[@Texaca]

have them paint over their vehicle banners and signs with Water based paint... lol

[@georgeponce3747]

Hi there, I'm a Latino painters, I would like to work for all you guys, I live in California, Pasadena, Monrovia and all around, good video!! Saludos jajaja

[@elive707]

Hey Eric I love you video . My question is if you're bidding on a job for 3200 and your paying subcontracted 1500 how much material cost is too much for bid like that

[@kedinordonez8140]

what if you are a sub contract company, how do I get contracts? Where would be a good place to start?

[@DhanrajTharsan]

there was a mistake, u cant let the subcontacter to deposit the chequ and they cant cantact the constumer.

[@kalabasrate9578]

To late...Kiss my ass a nigga... took a bitch nugga check, chick, and custumer nd she is my girl now lol...hide ur custumer, cuz we aint playing 2 can play yhis game lol #wecomin lmao

[@DhanrajTharsan]

Who cares dick head 😴

[@warnerunterbrink9386]

@@kalabasrate9578 what 💀

[@hizb305]

Do you have the sub contractors blind bid the job? Most sub contractors want to see the job before starting it, how do you go about that?

[@homesbyjordan1142]

My goodness are you ever smart, just started following you and am mind blown, thanks Eric

[@TheKingShadez]

Hi, Eric. I'm from California. I've been watching your videos for the past few months getting ideas on how to start a sub contracting business for residential painting. Have you ever come across any residential areas that are strict and need approvals before doing any painting/landscaping, etc, from HOA (Home Owner Associations)?

[@pedages]

5. .

[@RenoCapture]

Wow, great content. This has given me a lot to think about. Thanks for sharing it, Eric.

[@mentorpainter4408]

Hey Dan "love the academy" when can I be on the podcast?

[@ang3latos]

Can I do this in California after the passage of AB-5? Even if I don’t have employees, I imagine my sub will have to, so expense-wise do I just end up in the same place?

[@therealmaccoy251]

Hey Eric, Do I need to put up an add for subcontractors before I get my first lead? Then contact and meet up with them when I get a deal? Or how should that go? Thanks for your time and videos.

[@therealmaccoy251]

Alright thanks

[@paintshoppros3107]

following

[@Victor-SM4]

Amazing advice Eric. Thank you very much!

[@Victor-SM4]

Having trouble finding sub contractors in the Canadian region. Vancouver, British Columbia specifically . Craigslist, homeadvisors? Thanks Eric.

[@ojosh23]

Hi Eric, Thanks for this video, I'm really enjoying the series. How do you find your clients find having sub-contractors on the site? Is it ever an issue? Do you let your sub-contractors interact with the client or would you remain the point of contact? Thanks! Josh

[@jonmohawk6033]

I think if Eric's business was that successful, he wouldn't have time to make videos. ....he would be out MANAGING a job somewhere! He's a bullsh.. Artist that's all.!

[@debo90570]

+Eric Barstow Does your guide to running a painting business have models for utilizing employees? I do not think there are enough subcontractors in my area. I personally would like to have employees, unless I expand to a larger populated area.

[@debo90570]

Okay thanks for the info. Do you think giving them a percentage of the job would incentivize them? This way the faster the jobs get done the more money they make. My area of interest has a population of around 40k people. This area has no large painters at all. Do you think I could make a good amount of money with this type of population?

[@korkuc26]

Hi Eric, My name is Brian. I have been in the field for quite a few years now. Not necessarily painting but all around interior work. I decided that it was a good time to break off and start my own company. I would like to sub contract for now to get my foot in the door. How do I go about finding companies to work for?

[@Barnes466]

Try Craig's list maybe

[@you7uber5]

Eric I got a question, Why do customers hire subcontractors and not hire a company them self

[@lourdesramirez4098]

Eric how do you advertise yourself as a sub contractor,I was thinking fliers,business cards...we're just starting this business but I dont know how to advertise so the main contractors can hire me

[@lourdesramirez4098]

Wow ,thank you I did try graiglist,but I'm going to go to the paint store and ask..and I'll Google it..to see who is willing to give us an opportunity to start this business...my flier will say we're a sub-contractor (we will do the work for you so you don't have to) we offer you exterior and interior painting and washing of your exterior siding Wat do you think...(I hope nobody copies this..

[@andrepastor520]

You call them and offer your services.

[@taylorgrace5583]

mark Lynch asked a great question... how do you handle going to the customer with your business name And company then your subs show up with there business name...have you ever had a complaint.. if so what is your reply?

[@taylorgrace5583]

+Eric Barstow thanks for the reply.. I plan on starting my paint business in March but I was anxious about it until I started watching your videos I was going to do it myself but I believe I like the sub method better...I hope to get your course later the price is to steep right now.

[@alexandrapelayo1111]

What do you mean getting approvals from HOA apprvals of what? I need to know thanks in advance . I love your channel

[@joesaxon899]

On the exterior painting of a home, a hoa has to approve any color changes. Some HOA's will have a certain color scheme allowed for homes in the neighborhood. Changes have to be approved.

[@nickthinkpainting1978]

So when a company hires your company to do the work you send another company or sub as you say to the job.. Do you tell your customers your subbing the job out and actual employees of your company are not doing the work??

[@adriancatlina2803]

+Eric Barstow vyr

[@adriancatlina2803]

+Eric Barstow vyrgp.vgohp

[@jrod6902]

I want to know the answer to this as well

[@AlmightyEvil1]

What’s to keep me from undercutting the guy not doing the leg work. I was a sub for this guy and he didn’t supply shit and got paid way more than we did. That didn’t last long before we took his clientele and went our separate ways.

[@mentorpainter4408]

@@AlmightyEvil1 So you mean this guy gave you clients to provide yourself with more money and that's not enough you got greedy? Why didn't you ask for more money to do the job and maintain the relationship?

[@nukleus24]

Eric, how will the customer feel if they see another company coming to do this job and not you? Also what if the contractor hands the customer one of their business card ? I'm sure the customer will wonder the same.

[@nukleus24]

That makes sense. Thank you for answering my question. I think I'm going to jump into this and start my own. Thanks again.

[@coreykeller1838]

Hi Eric, Does your company need to have a contractors license to higher the subcontractors or by hiring a subcontractor you avoid having to get that license? If you dont have a license and the client asks if you are licensed, what do you tell them? I am in florida and I am intersted in starting a painting business using your model. Thank you

[@coreykeller1838]

Thanks Eric, So what licensing would I need to get to higher licensed painters

[@kozakwarrior7375]

In California you need the painters license to hire a subcontractor if you are doing that .

[@stephendelay1079]

who do you hire first the sub contractor or get the customer?

[@PaintingBusinessPro]

Get the customer first. Schedule them 4-6 weeks out. Then find a sub. Subs don't care about you if you only have hypothetical customers.

[@rudyp8439]

How about quality control. When customers choose your company they expect the standard you said they would receive. How do you ensure that with a sub?

[@PaintingBusinessPro]

As a subcontractor, they need to fulfill on the contract. If they don't fulfill on the quality of the contract, they don't get paid the contract. Not to say you won't have some problems as you build your team of subs... but you run into problems when you build a team of employees too. If they don't do a great job, we go in and facilitate that it gets done properly. If they can't do that, we bring in someone else (same as if a certain crew of employees did a bad job and couldn't get it right, you'd remove them and bring in someone who can). I used employees for 5 years before using subs. All the problems you have with subcontractors, you also have with employees. But many of the problems and inefficiencies you have with employees, are resolved or non-existent with subs.

[@rudyp8439]

Thanks for that fast reply!

[@PaintingBusinessPro]

You got it!

[@JohnnyGliniak]

hi I'm 20 years old and starting to get my company going. should I find a sub after I find a job and the client happy with my estimate? or find a sub before? I just want to know how I can grab the subs attention meet him in person to do a job for me when he knows lil about me. what should my job folder be composed of?

[@JohnnyGliniak]

you can email me at [e-mail] if you would like. I would greatly appreciate your response

[@nessaguz0707]

Hi I just saw your video and diving into the business... question, I was going to hire employees to do the production part of the business, but after seeing this video, I'm having second guess. I just paid for professional liability, but if I'm hiring a subcontractor, do I need that still if I'm hiring a contractor that has insurance for their own company? Great videos by the way!

[@Barnes466]

That is my very same situation and question! I live in Canada on the East coast and am starting up currently. I believe that I will not need my commercial liability insurance(correction: commercial liability insurance was meant to be worker's compensation for my own person) now that I ensure I am hiring subs who do have the necessary insurance, etc. This will save me some money for sure every year :) cheers!

[@Barnes466]

Ah I misspoke, I meant I was going to drop my personal worker's compensation insurance, not my commercial liability. I still want my business to be insured for sure. Just that if I am not doing the actual painting work anymore I don't have a need for that type. I should correct my above reply. cheers

[@gregsbest]

How about the problem of clients not paying when the final bill is due ? What about subs, that cause trouble during the job- quality, no-shows, etc. when you promised the client a set date ? Yes, I know you don't hire them again, but what to do when you're in the middle of the fire, so to speak ? tx. for answering...

[@gregsbest]

Yes, agreed. Close attention to subs- helps big time. What about holes in walls, trim needing work, walls that need fixing, etc. that you may have missed in your estimate- Do you go back to the customer and ask for more money or do you take the loss ? Tx. for your prompt and thoughtful answers Eric. Cheers, Greg

[@treeway53]

+Eric Barstow ऑश

[@mrpudders]

Hey Eric...was wondering, does the sub contractor see the final check as more than 1500. or more than what you agreed on..?

[@mrpudders]

I mean does the sub see that you charged 3000 and he's getting 1500..?

[@mrpudders]

If so they'll start to resent

[@adamhart5330]

Have you ever had any issues with the customer handing the final $3000 check to the sub contractor? I assume you let your contractors know about the 50 percent right away so there is no surprises? Obviously they know your up-charging something and the check will be made out to your business and they will still want theirs but has a contractor ever come back to you upset or arguing with you after seeing the check for 3000 and he didn't realize he just did a 3k house for 1500 kind of thing or do you tell all the subs openly you are splitting it? Has a sub contractor ever tried to have the customer make the final $3000 out to them instead of you? I was thinking I would have to find a way to keep a little wedge in between the customer and sub if I set it up like this.

[@PaintingBusinessPro]

No, we don't have that problem ever. We don't have that problem because we don't hide anything up front. Everything is up front.

[@taylorgrace5583]

I have a current bid for 3650 from a paint company to do a house so I would have to double that to get my 50%..seems steep

[@taylorgrace5583]

+Eric Barstow that's makes sense thanks for getting back with me. also, why do you require sub contractors to be registered and insured if they work for you and your registered and insured?

[@SR_PRODUCTIONS]

Just starting my own painting company and was very confused on this topic i came in thinking i would do the painting but after seeing your videos thats out of the question. My question is. Since my company had to be insured to work with businesses, when we sub contract and something happens is it our insurance responsibility or the subcontractors?

[@PaintingBusinessPro]

You should have insurance and your contractors should have insurance. And you should only really use insurance for REALLY big fuck ups. Like if you burn a house down. I've never used the insurance in 12 years of business and millions of dollars of work done. I do know someone who used his insurance when he burnt a house down. No joke!

[@moonroc2]

How many employees do your subs usually have to do a job in a timely manner? Lets say to paint a 3 bed 2 bath interior.

[@moonroc2]

+Eric Barstow thanks for the info. I painted my way through college and now looking for a path to retire from 30 years at a painful job. Great information in your videos.

[@Deckrejuvenationcom]

havent touched a cheque in years..... are they still used over your side of the world in 2016?

[@Deckrejuvenationcom]

Why not just factor it into the price and remove the admin?

[@ferznator]

I just don't see where you can find a licensed painting contractor, who pays all of the expenses of having employees, workers comp, insurance, bonding, taxes, license expenses, vehicle, tools, a contractor you can pay half of the total cost of the job, i understand marketing is expensive too, then bidding the job, but half and half, i don't see it, if the job is big and you have to work for a general contractor, or just the home owner and the job is big, many problems happen, now if they make a mess, like over spray, or paint on floors, and they don't wanna clean up, you are hold accountable and responsible, and still have to pay him, i don't see it, you either have to pay low or charge high

[@Bkozic3]

What do you mean you pay 50% for paint and materials

[@PaintingBusinessPro]

I mean 50% of the job is for the labor (employee pay / painter pay) and materials (paint and sundries). In business this would be considered your COGS (Cost of Goods Sold). And you always have a markup. In order to build a healthy business, your cost of goods sold should be about 50% in this business... So if you have to pay your painters $1500 and your materials are $500, that's $2000 cost. So your price should be about $4,000.

[@secondhalfcomeback5907]

What's up man! Great advice I'm learning a lot. Question for you. When your subs go into a job, I know they are basically their own company. So, do you go to a job estimate presenting yourself as foothills painting and quoting them as foothills painting then when your subs show up for the job they pull up in a van or wearing shirts that say your company name or do they show up promoting "XYZ" painting?! This just seems like something that would look suspicious or confuse the customer??

[@secondhalfcomeback5907]

thanks for the response man!

[@PaintingBusinessPro]

Our subs represent our company. They either wear our company shirts or just painter whites. They are not allowed to represent any other company. So if they have vans with another company on it, that's a deal breaker to work with us. When they are on our jobs, they represent our company. If they violate that, they will no longer get business from us.

[@dimitryintelcreteportnoy496]

if those sub contractor did bad jod what you do ?😨

[@dimitryintelcreteportnoy496]

+Eric Barstow Hi Eric, can I use your business model here In Canada?

[@adamhart5330]

Instead of hiring employees would you suggest hiring individual 1099 contractors who can paint, like just individual guys and a foreman etc, and just pay them each an hourly rate straight with a business check, and managing the materials yourself instead of handing the whole production and site over to another crew/business for flat rate? Even if you contract the workers out individually, once the job is rolling and people know their part you don't really have to be on site and can focus on more marketing etc...plus I can't see making a guy with a running show (tools, a van, a crew etc) get all the materials and managing the entire job and site basically start to finish, and pay his crew for less than 1500 bucks. I would have to only book jobs for 3000+.....Please a thought on the 1099 hourly rates setup would really be appreciated.

[@PaintingBusinessPro]

No, that would make those people employees not contractors. And if you ever got audited, you would owe a ton of back taxes. Don't get too cute with this stuff. You either use employees, or you use subcontractors. Stick to the system.

[@PaintingBusinessPro]

And... If you do use employees, you have to sign them as W2 employees... but yes, you should still do basically what you're saying but with employees. That's the 2 options you have. Subs or employees. And if you use employees, you need to incentivize them, delegate to them, and make sure that they can do production without you as much as possible so you can stay focused on building the company.

[@aramatena]

What if the check bounces?

[@PaintingBusinessPro]

Then you recollect it. That rarely happens. We've only had 2 customers actually not pay us in 7 years.

[@RayCrockTV]

This is a labor marketing company. Who does a job for 50% + Materials???? $1500 for your company. $1000 for labor. (2-3 man crew or sub) $400 for materials. $250 Profit for the painter.... = SLOPPY JOB FOR CLIENT! Silly Rabbits!

[@PaintingBusinessPro]

That COULD happen. But it's not a requirement of running a business this way. You can deliver a great product to happy clients with happy staff who love where they work. these are just the percentages required to build a large company and afford all the overhead it takes while still earning a good profit. But there are no shortcuts. You need to price your jobs properly, pay people fair, etc... These are the % that we need to adhere to. But 50% of $2000 and 50% of $4000 are very different jobs. So yes, 50% can lead to really shitty work if you are pricing yourself too low.

[@Texaca]

7:13 why on earth would the Subcontractor collect your check for you, and I don't know anyone that would allow a Sub to do that. All he has to do, is sign the check over to himself, and deposit with all his other checks? No?

[@doughershberger8089]

Man, not bashing the business model but it has potential to continue to drive down the value of skilled labor. It may bite you in the butt in the long run and if not you, screw over the next generation of construction business owners.

[@PaintingBusinessPro]

There is a lot more going on under the hood than in this video.

[@doughershberger8089]

I sure hope so! Best of luck👍