Management Fee
Subcontractor Markup Tool
When a sub bills you, you aren't just passing the cost along. You're managing, scheduling, and warrantying their work. Use this tool to ensure you're paid for that responsibility.
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Strategic Sub Markup
$
%
Total Price to Client
$6,000.00
Your Coordination Fee: $1,000.00
Why Mark Up Subcontractors?
General Contractors often struggle with whether to mark up their subs. Remember that once a sub is on your job site, you are responsible for:
- Site Management: Coordinating schedules and site access.
- Quality Control: Ensuring their work meets your high standards.
- Liability: You carry the insurance and the warranty for the entire project.
- Payment Risk: You are often paying the sub before the client pays you.
Industry Standard Sub Markups
While every job is different, most professional GCs aim for these markup ranges on subcontractor labor and materials:
- Volume Builders: 10% - 15%
- Custom Remodelers: 20% - 35%
- Specialty GCs: 40%+ (If providing significant design/planning)
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