Painting Subcontractors - Common Questions & Answers

[@seekinghumility6209]

Best video I've ever seen on the issue of subcontracting. I've struggled with hiring subs as a contractor and you answered the hard questions no one else will tackle when it comes to this discussion. Thank you sir.

[@PaintingBusinessPro]

Glad to hear it! Thanks!

[@CenturyPaintingCharlotte]

I agree 101% with​ you Eric... I get so tired of other Painting Contractors complaining about this..

[@PaintingBusinessPro]

Absolutely!

[@djmeadows95]

Love how fired up he is on this. Great video. Thanks Eric

[@JamesBrown-li3io]

This video has been the best. Great information. Thanks for sharing your knowledge with the world.

[@PaintingBusinessPro]

You're welcome!

[@JunkRemovalAuthority]

I hired a painting company three or four years ago. Guy did good work but I asked him about subs. Mainly b/c of interest in business. He acted a bit shady and was the worst part of the whole job. Your explanation was spot on.

[@ensurepaintingplusllc]

Hi Eric, If you could please explain in alittle more detail on what exactly providing real value to your contractors looks like? As I have the option to work and hire subs and would like to know how to keep them more faithful and stick around. Thanks in advance for your response and aways for a great videos and your professional guidance . Have a great week/weekend. All the best, Derek

[@PaintingBusinessPro]

Keep them busy. Job after job after job. No gaps. Pay them on time, immediately upon job completion. Pay them well - our 50% is a great payout, because we bid our jobs properly to pay them great. Treat them great - be a partner with them, and genuinely take care of them. Those are some bullets. But mostly, you just need to be AWARE and GENUINELY take care of people - all the time, in all of your business.

[@tommyi-opener7779]

Love your system...it's working for me!!!

[@PaintingBusinessPro]

How is it working? Thats great!

[@tommyi-opener7779]

PaintingBusinessPro first off...I've done the flyer thing by hanging them on doors.... but then a tip from your system said to get aggressive and knock on doors and set appointments for estimates...that is just one tip. I started April 2, 2018 and have landed an almost overwhelming amount of work!!! Like you said..."Repeat the process".

[@PaintingBusinessPro]

How much work have you landed so far?

[@tommyi-opener7779]

PaintingBusinessPro ..13 interiors, 7 exteriors, 3 decks, 2 garages and 1 dental office!...

[@PaintingBusinessPro]

Total revenue sold?

[@truepainting9568]

Great Videos Painting Pros! Erik, my question is do you know how to give a rough number on an average subcontracors hourly rate? I have a solo painting business I just formed after 15 years Painting experience. I just got an offer from my former employees of a commercial painting company to do help on a project for an hourly rate and I am fully insured and dont need workers comp yet, just me. What is a good way to calculate an hourly rate? Thank you

[@PaintingBusinessPro]

Whatever price you are willing to work for.

[@truepainting9568]

@@PaintingBusinessPro Thank you for taking the time to answer. That was a very true answer. I gave a price after calculating my living, busness expenses, taxes and workable hours. It was much higher than what they were paying me as an employee. They didn't get back to me right away thats when F.alse E.xpectations A.ppearing R.eal (FEAR) set in that I was asking way too much and they were not going to accept it. So I asked you. The next day they got back and said looks good call me next week! What a relief. Glad I didn't chicken out as far as lowering my price from fear. It all worked out. Have confidence, take action and take risks it wont kill you! Thanks again

[@PaintingBusinessPro]

@@truepainting9568 Congrats! Way you hold strong! If you haven't already, check out my full business training course. www.paintingbusinesspro.com/course Have a great weekend and keep kickin ass. -Eric

[@dillan5553]

Say I own a business in an area that requires you have a painters license. So i acquire licensing/insurance, but want to hire a subcontractors to carry out work, does that subcontractor need a license also?

[@PaintingBusinessPro]

It depends on the rules and regulations in your area. You definitely want to hold a license, but depending on how the regulations are set up in your state or county will determine the importance of having subs who carry their own license.

[@dillan5553]

PaintingBusinessPro so I did call my county and the sub will in fact need licensing and insurance also. My company is located in a highly populated area in Florida. That being said in your opinion do you think this system would still be effective?

[@PaintingBusinessPro]

Absolutely. I have a number of successful customers in all different areas in Florida - Miami, Tampa, Palm Coast, Orlando, Tallahassee, Jacksonville, and even the smaller cities like Fort Myers. The "system" is really just how to run a successful business. And in any market, the market rates are the market rates and this system is built on market rates. Also, any challenges in a market are even across the board - everyone in your market has those same circumstances. So it's still a level playing field. The system we have is just principles to operate on for marketing, a great sales process, a great production process, and principles/benchmarks that govern each part of the system to create a complete and profitable business model. Make sense?

[@iMAGATRON]

I hope this helps answer the licensing question. I live in California and somewhere around 2005 or so, and not much has changed since then if anything at all... I worked for a painting company that solely used subcontractors. We were "employees" but got 1099 at the end of the year. We were treated well, paid well and on time. To quickly segway and answer another question I saw (@ Byron Bair), it is not illegal in California to use subs that solely work for you. I was one of them as stated previously. Eric is correct that it is a very good way to run the business. Also, you hold the license and the sub falls under your license in California. I don't think it has changed. Painting is a great renewable source of revenue. Do a good job and your customer might tell 1 or 2 people. I usually say something like... If I've done a great job for you, tell one of your friends you know needs paint work about me and your next paint project with me is $XXX.XX off or some percentage off. Or when I get a call and when I ask someone where they heard about me, if it was a referral, I find out who referred me and I will do something nice like a starbucks gift card for the person that referred me, or something like that. Oh man, I could go on forever about business and marketing ideas. I'll cut myself off for now. Anyway, cheers!

[@thelongroadtomeaning]

How do you find good subs?

[@PaintingBusinessPro]

We find them on craigslist posts most of the time - or from networking people we know. We find the good ones the same way we'd find good employees - a strong screening process and everything. Our entire business system is available here: www.paintingbusinesspro.com/course

[@jenniferlopez9386]

Any tips on how a subcontractor can find general contractors ?

[@PaintingBusinessPro]

Not any good advice! That's really not what I teach (or what I would recommend anyone focus on)

[@emaclington]

I feel like you're a little frustrated in this one. Haha. That's cool though because you care. It's why I watch your damn videos. THE question I have - which is ABSOLUTELY not covered in this one: is your process for BUILDING these subcontractor relationships you've maintained over a 6 to 7 year span. I hear a lot about E2E processes/outcomes but not about the process of meeting and qualifying. Although, the point about needing a painter that only wants to paint; duly noted. I'd love to get your take on ONBOARDING subs; maybe with a similar "leads -sales/close-production" flow - other than the off comment about Craig's List. I really appreciate your content. I hope to hear your secret-sauce method on this part of it. Cheers.

[@PaintingBusinessPro]

That's the kind of stuff I go into details on in my course. Strongly recommend it if you don't already have it! www.paintingbusinesspro.com/course

[@CenturyPaintingCharlotte]

The How and why's...and it's no good and what if this happens...

[@thomasjonesjr6282]

Century Painting, are you from Wallingford, CT ?

[@Bearzo23]

Isn’t it technically illegal to use subcontractors who solely work for you? The IRS has strict rules about it. If someone predominantly works for you year-round, shows up when you want them to, doesn’t pay for materials, wears your logo, etc., then they should be getting a w2, right?

[@veronicaanne8167]

Bryon Bair I could be wrong, but I don't THINK Eric means keep them exclusive to you. But we should have enough work to keep them busy so that they know we always have work for them. Also the way Eric teaches they are purchasing the materials needed to produce the job (including the actual paint).

[@charlesg7926]

The key is to have your subcontractors get paid by the job, and to have them purchase all of their own materials (except not the paint or primer itself). Also, you cannot have anything in writing restricting them from working for other companies… You just give them enough work that they simply don’t want to work for anyone else, or don’t have much free time in the schedule to do so. Even if you only have a subcontractor working for you 50% of the days out of the year, they will still be very loyal to you, even if they work for someone else sometimes.

[@deaton123able]

So, If I Sub For Your Company Lets Say. Am I Covered Under Your Company' Liability or am I Responsible For Liability?? Thanks In Advance ..

[@PaintingBusinessPro]

Both. We require our subs to carry their own liability, but ours also covers the job.