We’re at the CFMA 2012 Annual Conference in Orlando, Florida, and there was a great session yesterday titled “The ‘Gotchas’ of Subcontractor Expansion.” This was a great presentation by Lisa Autino of Corbin Electric, Kevin Burnett of the Sundt Companies, and Marjorie Weber of Irontree Construction.
Any discussion of subcontractor expansion is very relevant in the current economy. In a great article by CFMA Exhibitor Dexter Chaney – Tips for Staying Profitable in the Construction Industry – one mentioned tip is to “go where your clients are.” What they call “traveling common” will be more common in the future, they suggest.
And they are right. Just like everything other industry, the construction industry continues to get more and more specialized, which means specialities will be crossing borders. What are the challenges that confront these contractors as they expand beyond their state or region’s borders?
I was speaking with Lisa Autino after her presentation and discussed something very important to this topic that didn’t come up: laws. When you expand beyond your state’s borders, while constructing a building may be exactly the same, the laws that apply may be completely opposite.
This, of course, is true of mechanics lien laws, which I repeatedly state are different in every state, and sometimes different within a single state depending on project variables. It’s not only true for that, but for absolutely everything (contract law, certain treatment of contract provisions like pay when paid clauses, and more). It’s very, very, very important that the legal changes from state to state is contemplated when crossing these borders with your business.
Zlien was created to address this particular challenge, and how it relates to a set of laws that change perhaps more drastically than any other set: the mechanics lien and bond claim laws. We completely manage the mechanics lien and bond claim process nationwide, so you can work or supply to every state in the nation and not have to mind the headaches associated with lien and bond claim compliance.
Did you enjoy this article?
Pingback: Confronting The Perils of Chasing Out-Of-State Construction Work