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How Do You Pay A Contractor with Subcontractors??

14 years ago

My contractor is a semi-retired contractor. He has a great reputation in our area. In recent years he mostly subcontracts larger projects on a build, completes some smaller projects on his own and is a great finisher. My question is, how do you pay someone who subcontracts most projects out. It is my understanding in our area the general rate is cost plus 15%. However, so far we have paid most of the subcontract labor and materials. We have not made a payment to our contractor. The contractor has been present for all projects completed (we now have a basement). I realize we need to set down with our contractor and work out the details, but I would appreciate your suggestions on how this should work fairly for my contactor and for us. Thanks!

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