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The prime contractor is responsible for managing its subcontracts, per FAR 42.202(e)(2). The prime contractor is primarily responsible for subcontract award, technical and financial performance, monitoring, and payment to the subcontractor for the work accomplished under subcontract terms.
You need a North Dakota electrical license to do electrical work in the state.
Contractor Resources or Resources means the Crews, Strike Teams and Strike Team Leaders together with all supervision, Equipment, supplies and transportation required to perform the Services pursuant to the Agreement.
No person may engage in the business nor act in the capacity of a contractor within this state when the cost, value, or price per job exceeds the sum of $4,000 without first having a license.
Responsibilities of a Subcontractor A subcontractor does almost the same things a contractor does unless otherwise specified in their contract. That is, they are required to keep their own paperwork documenting their processes and problems, work with little to no supervision, and manage their expenses.
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(a) Generally, prospective prime contractors are responsible for determining the responsibility of their prospective subcontractors (but see 9.405 and 9.405-2 regarding debarred, ineligible, or suspended firms).
These tips include: Qualifying your Subcontractor. Setting Expectations Before Construction Starts. Planning the Project Well. Proper Scheduling. Team building. Treat Your Subcontractor Professionally. Establish Open Communication with Subcontractors. Regular Progress Reporting.
North Dakota doesnt have a general business license requirement. However, construction contractors must register with the North Dakota Secretary of State. Contractors need to get a general contractors license through the Secretary of States Office as well.
Get a North Dakota general contractor license A general contractor license from the Secretary of State is required on any project over $4,000.
As a very rough rule of thumb, the profit for the subcontractor should lie somewhere between 3-5% of the total job, but there is no fixed rule. Where there is some room in your agreement for negotiation is what you consider the margin for profit and what you might classify as contingency.

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