Hiring an Independent Contractor in Tennessee

Before my husband had to take early retirement due to health problems he was considered and independent contractor, meaning he worked for "himself". Are you looking to hire someone to do some work for you? Here are a few things to consider before doing that.

The very first thing is to ask neighbors and friends for a referral of someone they know or have used. Another good way is to look in the classifieds, on the internet, and just look for signs and advertisements posted at different places. If you happen to be looking for a painter, call a paint store. If you are looking for a plumber, call a hardware store et cetera.

The next thing you should do is get at least three estimates. And please, please do not tell the others what the ones before them bid. That is not fair to the others, and usually you do not get a "correct" bid since they will be trying to outbid the others.

Once you have found someone the first thing you want to do is ask them for references and then check them out. Asking for at least five references is alight. Since they are independent contractors it is very unlikely they will have websites. However, you can check with the Better Business Bureau to see if they have had any complaints filed against them. Even if they have had employees file complaints against them, you may want to move on to the next one.

Next thing to find out is if they licensed and insured. Now here is one thing that a lot of people may not realize. If the person is not insured and they are going to be doing a small job, they can sign a waiver saying you will not be responsible for any injury they might sustain and they will be responsible for any damage they do. Make sure to get them to notarize it. The biggest time that insurance comes into play is when or if the person has several other employees working for them. Another thing to make sure is that the person is going to charge you by the job and not the hour. If you pay them by the hour, you have (in a sense) hired them as an "employee". This means that under some circumstances they actually can sue you for injuries they might sustain while doing the job. You will need to check out your state's rules on this.

Third, be sure to get everything (and I do mean everything) in writing. Make the person write up a contract and if you agree to the price and other details you and the contractor both sign it. Make certain to keep that contract until the work is done and then up to three or more months. If for some reason the person comes back and tells you that it is going to cost more than first expected, have them to write up another contract stating exactly what extras are going to be needed. Then make them give you copies of all receipts for materials et cetera. However if you do not agree to the extras or they seem a little "ify", the contractor is still reliable and responsible for completing everything that is on the original contract. Once they complete that, you can either try to negotiate the extras or just tell them you do not wish for them to do anything else. This should very rarely happen if the contractor is very knowledgeable about his/her job. If they miss the price quote by a great amount, that usually means they have not been in business very long or just do not know much about the job. Beware of these people.

Finally, some contractors may put in the contract to get a certain amount of the payment once so much of the work is completed. Usually, the person will not ask for more than 1/3 of the total payment and should have at least 1/3 of the work done. If they ask for more than this, it is up to you whether you want to give them more. Just be very leery of them asking for 1/2 of the money if they only have about 1/3 of it complete. If you feel hesitant in any way, do not agree to it. Now this should be put in the original signed contract, and you must agree to it upfront before they can even do this.

To conclude, make sure you research the person before hiring them. Ask for at least five references and then follow up on them. Make sure to always get everything in writing. If you have any questions about this person or do not feel comfortable with them, do not sign anything. Unless they have it in the original contract, do not give them any money before the work is completed. If they come back and say that it is going to cost more than expected, try to negotiate with them. If you have any hesitations or are leery in anyway, just have them complete what was on the original contract only. It may be difficult to get someone else in to finish the job once someone has started it, but it is possible. My husband would do that for people.

Therefore, hiring an independent contractor is not difficult, but should be taken very seriously.

Source:

Having a husband who was an independent contractor