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8 reasons why contract graphic installers can save your company money
Companies of all sizes can benefit from hiring subcontractors. From the flexibility that comes with being able to scale operations up or down, to bringing on specialized talent for project specific duties, hiring subcontractors can often help you grow your business.
Businesses often choose subcontractors for assistance on large, specialized projects when they do not have the resources on hand or need additional expertise. In these cases, hiring an expert to work on one or more short-term projects can be helpful in terms of cost, quality and efficiency.
Here are 8 ways that hiring a subcontractor can solve an immediate problem for your company
- Consultation & Project Support
There may come a time when your company will need to take on a project that will require the services of a qualified specialist that can add value for your client and be “part of your team.” If your company does not have a specialist on staff or if you do not have an ongoing need for one, it will be best to hire one for a short-term basis. This is preferable to hiring a full-time experienced installer and the ongoing costs associated with them. These experts can represent your company in site visits, consult on best materials and strategies and provide the edge you need to get a project done on time and on budget.
- Subcontractors Provide Expertise.
Subcontractors will often offer a superior service and provide expertise that you may not be able get from your staff. In most cases, they offer years of specialized experience and have had plenty of opportunity to hone their skills. Furthermore, a subcontractor is likely to have done similar work before and will be able to get the job done quickly and efficiently.
- Adapt to Economic and Business Cycles
Let’s face it, business grows and contracts due to a number of reasons. By using subcontractors, your firm is able to adapt to these varying cycles on demand. Your company can maintain much more flexibility by being able to change your staffing needs quickly and also keep the confidence of your workers by avoiding mass layoffs during quieter times.
- Cost Efficient & Risk Adverse.
When your business needs extra hands on a large project, hiring subcontractors is often much more cost effective than bringing on new, full-time employees. It also helps avoid risk by hiring a reliable and safe firm with substantial niche experience. Even though subcontractors are typically cost more than in-house installers in the short term, it is still more cost-effective in most cases. Subcontractors do not get benefits, the costs of specialized training, office space or equipment. Hiring contractors also relieves you of having to pay employee taxes and a full-time salary. When all is said and done, hiring a subcontractor can be about 20 to 30 percent more cost effective than hiring full-time additional staff.
- Control Costs
Large projects are notorious for having cost overruns. By using a subcontractor and paying on a per project basis rather than by the hour, helps avoid these inevitable overruns that come with these types of projects. - No Long Term Commitment
Hiring subcontractors allows your business more flexibility than if you were to hire new permanent employees. Rather than bringing them on for long term work, you hire the contractor to work on a project, and then part ways.
With full time employees, however, ending the relationship can be more complicated, can create considerable time and cost (employment insurance, severance, etc.) and could end in legal disputes. This means there is a good chance you will end up paying someone a salary even if you do not require their services anymore.
- Increased Productivity
Increasing productivity is probably the biggest benefit of working with a subcontractor. Rather than bogging your employees down with tricky and unfamiliar tasks, you can outsource these projects to a third party. Doing so will allow your staff to focus on core business needs and may actually get the job done faster because your subcontractor has expertise in this area.
- Fewer Legal Obligations
In the eyes of the law, subcontractors are the owners and operators of their businesses and, therefore, are not entitled to the same legal protections as employees. For employers, this means that they have fewer obligations to subcontractors than they do to their employees. In addition to the previously mentioned cost benefits, employers will not have to send payroll taxes and deductions to the government.
Should you be working with Subcontractors?
Both large and small businesses often rely on subcontractors for help with short-term or specialized projects. There are many benefits that can make subcontracting your best bet for not only completing that project quicker than you could on your own but often providing a better experience for your client. To decide if this right for you, evaluate your situation and set up an appointment to meet with potential business partners that can offer the extra support you need. Most subcontractors can meet with you and discuss their strengths and then you can determine if these “helping hands” are the right fit to supplement your staffing needs. It may also be very attractive to your clients to keep the work within your control and not with one of your competitors.