What is a General Contractor?

Mar 16, 2025 | 0 comments

General Contractor Definition

A general contractor is a professional licensed by the state and responsible for overseeing and managing construction projects from start to finish. They coordinate all aspects of a project, including hiring and supervising subcontractors, obtaining permits, sourcing materials, ensuring compliance with building codes, and keeping the project on schedule and within budget. General contractors typically work on residential, commercial, and industrial projects, acting as the primary point of contact between the client and the construction team.

General Contractor vs Subcontractor

The key difference between a general contractor (GC) and a subcontractor lies in their roles and responsibilities within a construction project.

General Contractor (GC):

  • Oversees the entire construction project.
  • Hires and manages subcontractors.
  • Communicates with the client and ensures the project stays on schedule and within budget.
  • Handles permits, inspections, and compliance with building codes.
  • Responsible for project management, from start to finish.

Subcontractor:

  • Specializes in a specific trade (e.g., plumbing, electrical, roofing, drywall).
  • Hired by the general contractor to complete a portion of the project.
  • Works under the supervision of the general contractor.
  • Not responsible for overall project management, only for their specific task.

Comparison Summary:

Feature General Contractor Subcontractor
Scope of Work Entire project oversight Specific trade/task
Hired By Client/Owner General Contractor
Manages Others Yes, hires subcontractors No, only their own team
Permits & Codes Ensures compliance Follows GC’s guidelines
Project Duration Involved start to finish Short-term involvement

 

Why You Need a Licensed GC

Hiring a licensed and experienced GC is crucial for the success of your construction project. Without one, you may face serious risks, including:

  • Legal and Permit Issues – Unlicensed or inexperienced contractors may not pull the proper permits, leading to code violations, fines, or even having your project shut down.
  • Poor Workmanship & Delays – Without a GC managing the project, subcontractors may not coordinate properly, leading to delays, miscommunication, and subpar work.
  • Budget Overruns – A GC keeps the project on budget by sourcing materials efficiently, managing labor, and avoiding costly mistakes.
  • Liability Risks – If you hire an unlicensed contractor or try to manage the project yourself, you could be held liable for accidents, property damage, or contract disputes. You can always ask the GC for their license number and to see their insurance coverage prior to deciding to work with them.

Tip: Always verify a general contractor’s license, insurance, and references before hiring. A reliable GC ensures your project is done safely, legally, and efficiently. Feel free to ask the GC for their license number and insurance coverage prior to deciding to work with them.

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