Cleaning & Maintenance Management Online

Friday's Ask the Experts: Subcontracting

October 21, 2011

Friday''s Ask the Experts question from a cleaning professional on the International Custodial Advisors Network (ICAN) "Ask the Experts" page: We plan to have subcontract work with an outsourcing company (not a cleaning company). What should we most consider in doing subcontract work with this company? Which is the best, share profit or pay agency fee (marketing fee) to outsourcing company. Can you tell us a common agreement in subcontract work with outsourcing company?

The answer:

My primary consideration would be their reputation as responsible primary contractors. Do they pay a decent rate for the work done? Do they pay promptly and without constant pressure from subs? The best arrangement (contract) is they assign you the work for an agreed upon price, you do it on time, you submit an invoice, and they promptly pay what was agreed. Share profit sounds hazardous. What if they don’t make a profit or fail to honestly report it to you?
Agency fee? If they are honest and ... — Lynn E. Krafft, ICAN/ATEX Editor

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