How to select a contractor for your new building. (Buildings/Construction).

You have made the final decision to go ahead with the construction of a new building for your business, but where do you start? Gathering the names of prospective companies is a good starting point. Leafing through the Yellow Pages or chamber of commerce membership lists, requesting a membership list from your local construction association, or talking to other business leaders who have built recently is one way to begin. Another option, and likely one of the most obvious ones, is to make note of the signs on job sites where a construction project is underway.

Do your homework up front, industry experts stress.

Compile at least a basic list of needs. Ask contractors to come up with proposals; it is perfectly okay to rely on contractors for suggestions and a good contractor will also make recommendations. Smaller local contractors can also recommend specialized contractors for more complicated projects that they are not capable of doing themselves.

If you do not feel comfortable with a contractor after your initial meetings, you should probably consider an alternative contractor.

Points to consider

* Check who the superintendent will be for the project.

* Find out about any subcontractors the contractor will be using. Remember the cheapest price is not always the best.

* Check the reputation of the contractor by getting a list of past projects. Speak with local engineers and contractors who would have a good feel for the contractor.

* Check their track record

* Consider how technologically advanced a company is. For example, how does the company draw up their plans for a project?

* Talk to past clients about their relationship with the contractor. Ask about the quality of the project. Did they get what they wanted? Were there any deficiencies? And if there were problems, were they resolved satisfactorily. Did the company stand behind their project?

Approach two or three of your prospective contractors for a proposal. All the proposals should be reasonably comparable. One that sounds too good to be true, likely is.

Make your selection by analyzing the proposals. See if they have covered all the bases in their proposal and do not be afraid to ask questions. A good contractor will explain everything.

While you should have a plan of what it is you want, expect the process to take up to a year from beginning talking stages to the construction stage. The more planning done up front, the less chance there will be for such things as overruns and changes to the initial plan.

Make sure the company you are looking at hiring has compensation and insurance, and expect to receive tentative schedule.

Once you have made your final selection, sign the contract. Ask for a schedule of activities and a list of subcontractors. You also might want to ask about the inspection process and who their professional is.

A good contractor will hire a qualified engineer or architect to oversee the project. The contractor should also explain any requirements such as building codes.

Once the project is set to begin, maintain close contact, but let the contractor do his or her job.