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Whats included in a subcontracting agreement? the subcontracted services. price and payment. service levels (optional) change control. liability (including indemnity for the main contractor) ending the agreement. dependency on the main contract.
What is a reasonable markup for subcontractors?
What Is Markup? The average pre-tax net profit is between 1.4 and 2.4 percent for general contractors, according to the Construction Financial Management Association. The average pre-tax net profit for subcontractors is between 2.2 to 3.5 percent.
How long does a contractor have to pay a subcontractor in Minnesota?
If an undisputed payment is not received within ten days, the prime contractor or subcontractor of any tier that has not received the undisputed payment may suspend work under the building and construction contract until the undisputed payment is received.
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Subp. 2. Subcontracting. No contractor receiving a subcontract under this program shall in turn subcontract more than 25 percent of the contract dollar amount.
In order to understand how to demonstrate compliance with the federal and/or state prevailing wage laws and the contract specifications, our office recommends
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