How to Prepare a Remodeling Contract for Your Clients

Guest Blog: Rita Melkonian
Knowing how to prepare a remodeling contract for your clients is vital for your business.
There are certain elements that need to be included in order to protect both you and your clients. A remodeling contract should be fair, direct and should have all the information necessary to move forward with a project.
Here are 10 tips that will help you prepare a good remodeling contract that ensures all parties involved are aware of, and agree to, the terms and conditions prior to starting the job.

  1. Start with the basics. You need to include your name/your business’s name, address, phone number, and your license number.
  2. Include a summary of the job description. Write down the names of all the workers involved in the project and what they will be working on. You don’t need to go into great detail; an overview of the different jobs is enough.
  3. Provide an approximate start and completion date. You can mention that there might be delays due to unforeseen circumstances.
  4. Include a list of the materials that will be used. You can detail the size, color, brand, etc.
  5. Clarify payment details. Include the amount you need as a down payment and all subsequent amounts in your payment schedule. You can also include cancellation fees.
  6. Incorporate a procedure for changes. State that all changes must be made in writing (via email or otherwise), protecting both you and your client should any confusion arise.
  7. In many states, it is customary to give clients a 3-day grace period where they can back out of the contract without penalty. If it applies to you, make sure you include it in the contract.
  8. Include a lien release, meaning the client is not liable should you fail to pay any subcontractors who worked on the project. These extra clauses will reassure your clients that they can trust you when hiring you as their remodeler.
  9. Add a termination clause to your contract. For example, if your client does not pay you on time, you can leave the job without penalty.
  10. Have designated lines for both signatures on the remodeling contract. These are usually placed at the bottom of the contract, and both parties must sign it, signifying mutual agreement.

 
Once you prepare your contract, you can save a blank copy as a template and use it for all your future clients. If need be, you can add or remove certain clauses depending on the project you’re working on.
Having a solid contract will help you close deals faster and will reassure your clients that you’re a legitimate and professional remodeler who will get the job done. You should also have a reliable design software so you can draw out your remodeling plans and show your client what to expect before executing the project.

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Author Bio

Rita Melkonian is a marketing content specialist at 2020, provider of interior design and space planning applications, where she researches and writes content related to the world of interior design.

 

| 5/29/2019 10:49:59 AM | 4 comments
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