Building In Arkansas

The Value Of A General Contractor

By:
ghyatt
Created: August 21, 2024
The value of a general contractor

General Contractor

What is a General Contractor GC)? Perhaps the better question is what is a Licensed General contractor? To obtain a license, in the state of Arkansas, you have to pass a test and have served in the construction industry for no less than 2 years. Our Arkansas Home Builders Association and governing body have requirements that limit just anyone from becoming a Licensed General Contractor. Based on my experience of over 25 years in construction and design, I have found that just because you have your GC license, doesn’t mean you are the right person for the job.

Defining The Roles

Let’s define a couple of roles. A builder or contractor is a person who constructs something by putting parts or materials together over a period of time. “A boat builder” as described by the online dictionary. Next is a GC. He is the conductor of the construction orchestra. He directs the subs and oversees the use of different materials, building processes, and customer relations while making sure your project is built strong, safe, with good function, and up to the local building codes.

The value of having a GC is that you get to focus on the idea of the project and a proficient GC will manage the complexity and schedule to make your dream home come true.

Best Values

One of the best values of a GC is that when you go to the bank to borrow money for your project, most lenders require you to have a GC.  It is standard practice for banks to require you to list who your builder is, what do the plans look like, where is your lot, how much is it going to cost to build and how long. When you hire a GC it’s a business deal. You’re hiring this person for their skills. A builder and GC are one in the same. 

Thinking Out Loud

A lot of people think they can build cheaper themselves, and it typically shows as time progresses. We can all appreciate those weekend warriors who love power tools and YouTube, but building a home is not a weekend project. The truth is, a seasoned builder will get more done with less hassle and cost than if you try to weekend build your own project.
  • Think of it this way. The decision to hire a licensed GC is no different from other big decisions we make. We do research when looking at a new car, letting our kids go out on a date with someone new, you get the picture. This isn’t a decision to be taken lightly.
  • That said, being a licensed GC doesn’t mean you’re good. Licensed GCs know the rules and how to talk and communicate with your city and other municipalities. Every GC, builder is different. They don’t all have the same qualities. The only common denominator is they passed a test to get their license. It’s important to know the things to look for that give you the best chance of success with your builder. When I meet with clients who don’t have a builder, I give them a list of things to consider when interviewing potential builders.
  • First, find a builder who you can communicate clearly with. Other factors to consider; does he have integrity? Is he known as a good guy around town? Does this builder have a style you like? Do you have a good rapport with them? How busy are they? Think about it, if they aren’t busy what’s the reason If they are super busy, then do they have time for you? There’s a line between both extremes. Is that builder budget-conscious? And it doesn’t hurt if he’s good-looking with a great smile!
  • If you have a builder whom you’ve never met and no one knows anything about him, to hire this person is putting a lot of trust in a complete stranger. Building a house is a contractual deal. And upwards of a 9-month commitment at least.
  • Another benefit of having a GC, you have someone involved daily who is at the construction site. GCs also know the right people for the job. They have relationships with the subs. All the guys you need for the job. Remember, subs are part of the GCs warranty team. If something happens a year or two from now and you call your builder, he can call the guy to come back out and make it right. Whereas if you took on this project, you as the individual, don’t have that voice.
| © Building In Arkansas |
2025