What to Consider Before Starting a Construction Project

If you are starting your own construction project, there are a few things that you will need to consider. It isn’t all about health and safety and price. Furthermore, it isn’t just a one-man team, which is just you. There are a lot of people to manage and take care of, so here is your quick and easy guide to starting a construction project. 

Get Advice From The Experts

Before you begin your project, you need to hire experts who are going to help you along the way. These will cover a variety of different roles such as architect, civil and structural engineer, project manager, and quantity surveyor. These will be the main people you will go to for the design and costing of the project. 

Get A Building Contract Written

Once you have your desired workers, you will need to get a building contract written. This written contract will provide you with all of the finer details that everyone needs to understand for the project. 

The best forms for this and the most common forms are JCT. Furthermore, it contains a good balance between the contractor and the information, with the information that is included. There are different forms that you can use, depending on the value of the project, so make sure you choose the correct one for the price of your project. 

Price and Progress

Something that must be considered if you have chosen a JCT contract is that it will usually work on a lump sum/ fixed price basis. That being said, price and completion can change significantly during the project, especially if there have been delays. For example, if you are working at heights and the project has been delayed, you may need to spend more money to hire a scissor lift. 

Remember To Consider Construction Security

When you are starting a project, you need to cover yourself in case a contractor becomes insolvent. This security can be obtained in the form of retention, performance bonds, or even parent company guarantees. Let’s take a look in more detail. 

Retention

A retention is where you will withhold 3-5% of the money for the project until it is complete. This acts as a security deposit where the money can be deducted if costs rise. Usually, half of the retention will be released upon the practical completion of the project, and the other half will then be released at the end of the rectification period. 

Performance Bond 

This is a financial guarantee which will be provided by a bank or insurance company to the contractor for the client. This aims to protect the client in case there has been financial loss or damage. 

Parent Company Guidelines 

These are cheaper alternatives to a performance bond. The main disadvantage of this would be that if the contractor becomes insolvent, then the parent company is also likely to become insolvent. 

Comply With CDM 2015 and Building Regulations 2010

This is very important when you are completing your project. This ensures the health and safety of all of the workers who are on site and any third parties that are also involved. Health and fitness are of the utmost importance to ensure you are covered with insurance.