As much as we all wish we could, you can’t do everything yourself. This is especially true when it comes to business. While it would be nice to be self-reliant there will come a time where you will need the assistance of subcontractors. Whether you need help with hauling, excavation or project management, hiring reliable subcontractors will ensure your efforts and investments are a success. That’s why Oilfield Factoring would like to provide you with the following tips for hiring the best subcontractors to ensure you are fully supported for long-term profitability.
Tips For Hiring The Best Oilfield Contractors
Knowing the best way to hire the right subcontractors for the job can help reduce turnover and reach your project goals.
Make Sure A Company Is Properly Licensed, Bonded & Insured
Part of the screening process is to make sure the company you hire is properly licensed, bonded and fully insured. While quality isn’t measured by these important factors, they do, however, go a long way towards ensuring a successful outcome. In the oilfield industry, licensing is especially important because companies are often involved in dangerous, accident prone work.
Research The History Of A Company
Like we mentioned before, quality can’t be measured by a company being licensed, bonded and insured. The same goes with how long a company has been in business. However, it is a strong indicator. If a specific company you want to hire has been in operation for decades serving the oilfield industry, it shows they have a solid foundation helping others thus achieving their own success.
Get Multiple Official Bids
When it comes to hiring the right subcontractor in the oilfield industry, it’s important to get multiple official bids from different companies. Even more, it’s important to make sure they provide a detailed breakdown of the specific costs and items associated with their bid. This should include labor, equipment, and material costs along with any foreseeable expenses that may be involved with the contract. Even more, it’s often advised to disregard the lowest bid because you don’t want to be stuck with low-quality services.
Obtain & Check References
When it comes to business of any kind, it’s important to receive and check references. During the bidding process, request references from all subcontractors that you are considering and follow up in a comprehensive manner. Good subcontractors won’t have anything to hide, so be cautious of any company that seems hesitant to provide you with references.
Even more, when you check through a companies references, be sure to ask about their track record including whether or not they met deadlines, arrived to work on time with the proper equipment, and completed tasks in a safe, appropriate manner. Understanding how they work can help you make the best hiring decision.
Meet With Company Leaders Face-To-Face
Before you sign a contract with any subcontractor, do your best to meet with company leaders face-to-face. If this sort of meeting isn’t possible, a phone conversation at the very least will do. However, meeting with people in person is your far best bet.
Having a face-to-face conversation will allow you to understand the personality and leadership of the company you are looking to hire. This can provide you with either final assurance or a needed warning. While it might always be possible to tell who you are dealing with, a face-to-face conversation can be a very effective way to read a company.
Get The Financing You Need to Hire Subcontractors
Operating a business in the oilfield industry comes with a wide variety of numerous expenses, including the cost of hiring the best subcontractors. However, profits don’t often reach your bank account for weeks or even months at a time. Oilfield Factoring can help you obtain the money you need for successful oilfield services. Contact us at 1.866.834.7338 today to learn more about our comprehensive, invoice factoring services. We’ll help you manage your cash flow so you can focus on growing your oilfield business.
