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One way is to purchase insurance in order to cover any financial issues if there is a supply chain error. The other way is through supplier contracts. Supplier contracts, supplier-subcontractor agreements, or contractor-supplier agreements are a way of protecting yourself from supply issues.
6 Tips for Dealing With Subcontractor Default Prequalify Your Subs. Before you take pricing or solicit bids from subcontractors you need to make sure they are capable of completing the work, both physically and financially.Know the Signs.Craft a Plan.Put It in a Contract.Protect Yourself.Termination of Contract.
Contractors errors and omissions insurance, also referred to as E&O insurance, protects trade contractors from damages arising out of faulty workmanship, limited design services, recall of their work, or use of defective materials.
6 Tips for Dealing With Subcontractor Default Prequalify Your Subs. Before you take pricing or solicit bids from subcontractors you need to make sure they are capable of completing the work, both physically and financially.Know the Signs.Craft a Plan.Put It in a Contract.Protect Yourself.Termination of Contract.
How to become a subcontractor Gain relevant construction experience.Obtain the necessary licenses and certifications.Create your company's financial structure.Get insured.Begin seeking clients.Establish a bidding strategy and start submitting applications.Use available tools to operate your business smoothly.