BHH3: Contract Structure
There are several different ways to structure the contract for your project. The type of contract largely depends on the complexity of the project as well as preference of the client. Below we’ll briefly discuss the different types of contracts in commercial construction. Commercial construction projects can be structured using different contracts like Design-Bid-Build, Design-Build, or CM (Construction Manager). Each has its own advantages and considerations. Design-Bid-Build fosters competition but lacks transparency, Design-Build offers a faster process but requires trust, and CM provides transparency and reduces design errors. The bidding process varies accordingly, with reliance on plans for Design-Bid-Build, conceptual designs for Design- Build estimates, and a focus on construction fees for CM projects. Understanding the contract structure is vital for accurate bidding and project success. Here on The Podtrepreneur Podcast, we believe traveling the entrepreneurship road alone can be daunting and difficult, but with the right map and compass you can go anywhere. The Podtrepreneur himself, Tyler Detring, started Ascend Commercial Builders in 2019 with $50 in the bank and is continuing to build a successful team and business. It wasn’t all rainbows and butterflies, there were ups and downs, but those ups and downs are what allowed Tyler to learn a lesson or two; here they are!
