Disclosure Statement

The five requirements for creating a valid contract are an offer, acceptance, consideration, competency and legal intent.

General Requirements are used as the clearinghouse for items that do not apply directly to construction, the cost of which are customarily spread out over the entire project. These costs are also referred to as project overhead. For estimating purposes, either term is acceptable.

A license is not required to operate as a handyman in Texas, but specific jobs are an exception. Handyman contract jobs such as Plumbing and HVAC may need licensing, while others like simple repairs and aesthetic improvements may not.

Standard construction contracts should have the following information and clauses: Name of contractor and contact information. Include the contractor's license number along with phone number, email address, and company address. Name of homeowner and contact information.

Identifying/Contact Information. Title and Description of the Project. Projected Timeline and Completion Date. Cost Estimate and Payment Schedule. Stop Work Clause and Stop Payment Clause. Act of God Clause. Change Order Agreement. Warranty.

Your general contractor should provide proof of licensing, bonding and insurance before a project starts, but it's better to have it in hand before you sign any contracts. It's important that contractors carry any licensing and/or certification required for the specific trade or skill they practice.

The banks in Texas do require you to have a general contractor on your home. Your GC is not required to have a license though. We are currently using the Owner Builder Network(.com). They provide your construction financing and you have full control of the project.

Direct project overhead costs are often referred to as general conditions and include costs incurred at the jobsite for supervision and administration of the overall contract but not ascribable to any particular onsite construction activity.

While you don't need a license to operate as a general contractor, you will need a license if you plan to undertake certain jobs. In Texas, electricians, plumbers, HVAC technicians, fire sprinkler installers, and well drilling/pump installation specialists must attain proper licenses.