General contractor

The general contractor (GC ) provides a rule all construction work for the construction of a building. The building is thus mostly turnkey created by the JV ( Turnkey ). This form of construction contract as a type of work contract is referred to as general contractor.

Overview

In contrast to the sole contractor, the general contractor has agreed with the owner that he shall not subcontract services to Sub - subcontractors or (partial). However, this does not change the fact that the general contractor is the only contractor of the client and has to bear the full responsibility for the overall performance.

The GU in the strict sense must provide some of the works in his own company while at least. The other benefits he can pass on to subcontractors. Not to the extent of the GU- power, however, include planning services. Colloquially the following business application forms are also often referred to as GU: If a contractor assigns all services and thus creates nothing in our own company, we speak of the general contractor. If additional planning services taken over, one speaks of the general contractor ( Self-made ) or general contractor ( without the support ).

Works will be tendered often functionally the general contractor contract. In addition, the fee is a flat rate regularly during the general contractor.

Partial contracting

Most of the general contractor, the general contractor is responsible for the entire turnkey construction of a building. If only several trades will be awarded to a general contractor, one also speaks of Partial contracting. An example is the allocation of building construction, roof and facade to an entrepreneur. The entire house technology or different facade trades are often bundled in Partial contracting agreements.

Benefits

For the owner of GU- use offers the advantage that he or his appointed planner does not have to take over the coordination of the various trades. Also in case of defects that can not be clearly assigned to the trade union have entrepreneurial flair, he needs to turn only to the JV.

Disadvantages

A disadvantage of the general contractor awarding a higher price level is often indicated. Undoubtedly, the general contractor requires an additional compensation for his services coordination. In general, the general contractor will therefore act on the prices of the subcontractors appointed by him by a GU supplement called. It is often stated that the contractor agreement more expensive by this surcharge will be between 10% and 15 % would be considered the remuneration, which results from the sum of all contracts to individual entrepreneurs. The but is countered by the fact that the owner spared no inconsiderable coordination tasks and transfers risks ( schedule risks, coordination risks interface risks ) to the general contractor. These are in terms of costs to be assessed. Also note that the general contractor often has a greater market experience as the customer (client) and may generally bind those Contractors who can create the performance cost-effectively. This purchasing advantage is passed on in a rule to the client. Whether a general contractor award the client may be more expensive or cheaper, can be estimated only for specific projects.

Entrepreneur - use forms

Also in other sectors of the economy play similar works or supply contract structures play a role. Generally it is called non-construction of a main contractor who forgives a portion of his towards the client or customer deliverables plant capacity to subsequent or subcontractors (such as in the transport sector ), or from a main suppliers of components, goods and services, which he for the fulfillment of a contract requires, refers to the part of subcontractors who have no direct business relationship with the customer in circumstances (for example in the automotive industry).