As their project list grows, general contractors are constantly looking for new subcontractors to work with on more and more projects. Unfortunately with new subcontractors comes new risk. The process of discerning reliable subs from unreliable ones is becoming less of an option and more of a necessity. The possibility of a subcontractor default is arguably one of the most ominous possibilities of construction. At any point in the building process a subcontractor can go bankrupt, run out of manpower, or simply cannot get any more resources. Not only does this bring the work to a screeching halt, it could potentially kill the job completely. On the bright side, SmartBid construction bid software has integrated Risk Reports to help GCs prevent this from happening.
By running risk reports on all subcontractors, you can weed out the unstable subcontractors and ensure you work with only the most reliable subs out there. Risk reports can look into the reliability of the subcontractor with financial statement analysis, their relationships with other GCs, past project history, and much more. With every step in risk report analysis designed to help GCs stay away from being left with subcontractor default – “better safe than sorry,” couldn’t apply more to the impact that running risk reports could potentially have on a project. By doing your due diligence during the preconstruction phase, you minimize the risk of project delays and errors.
Curious about where you can get started with risk reports? SmartBid‘s integrations allow users to order Dun & Bradstreet credit reports, Marsh‘s Subsecure financial credit ratings, and BM&B COVReports from within our construction bid software. By condensing the risk report process for our users, GCs using our construction bid software are getting the necessary and detailed reports on their subs – saving both time and money, all with less risks.
“It allows us to concentrate our efforts on sticks, bricks, and strategy. Having an impartial entity with deep experience in risk assessment provide analysis of our potential subcontractors allows us to focus on bid comparison and bid coverage. The ease of obtaining these reports and ensuring our team can easily access the results make this a no-brainer as an additional risk mitigation solution for any general contractor,” noted SmartBid customer, Seth Cheever, Preconstruction Manager at Stiles Construction.
By becoming a SmartBid user, risk and credit reports can be ordered for a discounted price with as fast as a three day turnaround. Our goal – to see GCs paired with better subcontractors!