Paving Contract for Contractor - Massachusetts 2025

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5 Common Types of Construction Contracts Lump Sum Contracts. For projects with a well-defined scope of work, lump sum contracts (also called fixed price contracts) are straightforward. Guaranteed Maximum Price Contracts. Cost-Plus Contracts. Time and Materials Contracts. Unit Price Contracts.
Typically a contractor would ask for 50% upfront to cover the initial get go of a project. Like stated above materials and wage costs. My advice to you would be to ensure everything is typed in a contract that both you and the contractor have signed.
Most general contractors do not charge an hourly rate. Instead, our research indicates that general contractors charge about 10 to 20% of a projects total construction costs. A big, established general contractor company can charge an even greater difference of 25% of a projects costs.
Up to a 50% Deposit Can Be Reasonable Almost every contractor charges a homeowner a deposit on a remodeling contract. Up to 50% of the total project cost can be reasonable, although 10% to 30% is more common.
For a small job 1/2 upfront and 1/2 on completion is normal. The contractor needs to be able to buy materials, set aside the time, etc. For a bigger job (more than a few days) you might pay in installments of 1/3 or 1/4 along the way.

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A contract should contain everything agreed upon by you and your licensed contractor. It should detail the work, price, when payments will be made, who gets the necessary building permits, and when the job will be finished. The contract also must identify the contractor, and give their address and license number.
The exact deposit amount contractors ask for upfront varies and is especially dependent on the size of the project. For relatively small jobs, like a $16,000 bathroom remodel, contractors may ask for a 50% deposit. For large jobs, like a $100,000 full-home renovation, a 10%20% deposit is more typical.
By law, the contractor cannot collect more than 1/3 of the cost of the contract in advance, unless special order materials are needed.

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