General Contractor vs. Subcontractor: What’s the Difference?

Construction projects rely on the expertise of multiple professionals, whether for residential, commercial, or large-scale developments. Two key roles in the process are general contractors and subcontractors, each serving a distinct but complementary function.

But what exactly sets them apart? Understanding their differences can help property owners, developers, and construction professionals make informed decisions. Here, All Squared Away Construction, LLC, breaks down the roles of general contractors and subcontractors, so you can determine which professional best suits your project needs.

1. What Is a General Contractor?

A general contractor (GC) is a senior expert responsible for starting and delivering a construction project. Planning, coordination, and compliance with standards and timelines for all aspects of a project fall under GC’s work. In most instances, general contractors work with a direct liaison with a client, managing a general construction project hierarchy and subcontracting for specific work.

General Contractor Responsibilities

• Overseeing the overall construction work
• Hiring and working with subcontractors and workers
• Ensuring compliance with codes and legislation for buildings
• Managing project budgets and scheduling
• Handling permits and inspections
• Acting as a contact point between construction groups and clients

General contractors play a crucial role in construction management. They ensure that all subcontractor roles align with the project’s vision and contractual obligations.

2. What Is a Subcontractor?

A subcontractor is a qualified specialist or subcontracting firm that a general builder engages to carry out a specific construction activity. Unlike general builders, subcontractors work in a particular activity, for example, in woodwork, roofing, electrical work, or in plumbing work. They specialize in one field and work for a general builder, not necessarily for a property owner.

Subcontractor Responsibilities

• Performing specialized construction work in terms of expertise
• Adhering to project requirements and timelines
• Following safety codes and building codes
• Reporting to the general contractor regarding ongoing work and any complications
• Ensuring the integrity of its respective work portion in the project

Subcontractors are critical to any construction project. They offer the skill and expertise to deliver specific aspects of a job effectively and professionally.

3. Key Differences Between General Contractors and Subcontractors

Any construction project requires the involvement of both general contractors and subcontractors. Despite this similarity, both have different scopes of work. Some of the most important differences between them include:

• Scope of Work: General contractors generally manage overall construction work, combining various types of contractors to work harmoniously. Subcontractors, in contrast, work specifically on a part of a project, providing a specific skill for work such as plumbing, electrical, or masonry.
• Responsibilities: Contractor work entails planning a project, budgeting, recruiting, and ensuring it complies with all safety laws and standards. Subcontractors are responsible for delivering work to a desired level and according to a specific time frame agreed upon with them.
• Project Management: General contractors handle overall construction management, and subcontractors work in unison under them, moving according to schedule. Project management is not included in subcontractors’ work, but subcontractors work in compliance with a schedule and protocols prepared and shared with them by general contractors.
• Liability and Contract: Liability-wise, general contractors have a general agreement with a property owner and overall liability for a successful project. Subcontractors have a deal with a general contractor and liability for a part of the work only. This distinction is crucial in understanding the contractor vs. subcontractor dynamic.

Understanding these differences helps property owners and builders make an informed decision when choosing a builder for a property.

4. When Do You Need a General Contractor or a Subcontractor?

Hiring the designated contractor depends on the project’s scope and complexity. Knowing when to hire someone can save a lot of resources.

When to Hire a General Contractor

• For large-scale buildings such as residential buildings, redevelopment constructions, and commercial constructions.
• Managing several subcontractors is required to accomplish several jobs.
• If you have a permit administrator, scheduling and compliance with regulating agencies
• When you have one single point of accountability for your entire project

When to Hire a Subcontractor

• For specific, expert work such as roofing, electrical, or plumbing jobs.
• When you have a general contractor but need additional skilled workers
• For smaller works and refitting, not including full project management

Selecting the proper professionals based on a project’s requirements is important for an efficient and successful construction process.

Conclusion

Both general contractors and subcontractors have significant roles in the construction industry, and both contribute to a project in such a manner that it runs professionally and efficiently. Overall work is coordinated, and general contractors handle subcontractor jobs. However, subcontractors deliver specific expertise for specific jobs. Information about subcontractor and general contractor differentiation will enable property owners to make an educated decision when choosing a contractor.