Thursday, November 1, 2007

New Social Networking Website for Women

Hi everyone,

My wife started a new social networking web site for women living in Loudoun County. You can find it at http://www.modernmommagazine.com

Check it out.

Monday, April 16, 2007

Race to the bottom

I know that many consumers complain about the high prices of construction/remodeling cost in the United States. Not everyone is aware of the high cost of labor, and materials that is involved in any construction project. Customers equate high prices with high profits. The reality is quite the opposite.
Consumers are indiscriminately hiring rogue or sometimes illegal contractors, handymen and other fly by night operations for construction services. In most cases, these unqualified operations are desperate for money, and accept projects at cost or below cost prices. Most of the time, they have no intentions to finish the projects they start, and they hunt for more and more projects to keep them afloat. Consumers end up getting hurt both financially and emotionally and they simply loose their trust in all contractors.
A side effect of this is the downward pressure on prices that legitimate and legal contractors need to charge for construction/remodeling projects in order to provide high quality services. Legitimate contractors have to incur many costs such as bonds, insurance, legal wages, taxes, etc. All of this cost must be recouped from projects over a year's duration in order to continue to operate a quality enterprise. When the prices are pushed down by illegal competition, many contractors will either go out of business or they will end up providing less than perfect services. The cost has to be accounted for and unfortunately it is the consumers who will end up suffering from lowered service quality.

What do I mean from lowered service quality?

  • It could be in the form of shorter warranties,
  • lower quality of workmanship resulting from hurried project completions,
  • unresponsiveness to smaller projects, etc.

What can the consumers do to avoid this from happening to them?

  • Pay a fair price for the projects.
  • Don't compare prices from illegal operations to legitimate contractors.
  • Do your homework and set your own expectations right based on industry prices.
  • Don't abuse good contractors and frustrate them out of business.
  • Keep in mind we all need good contractors to survive in our economy and we cannot outsource contractor work in construction.
Good luck.

Murat Aksu
A1A Team
(703) 728-8836

Thursday, April 5, 2007

Civility and Courtesy

What is the biggest consumer complaint about contractors? "They don't respond to customer inquiries in a timely manner or not at all." For the most part, this is true. Customers may have to call 4-5 contractors before they receive a call back from 1 or 2 of them.

So what is the biggest contractor complaint about consumers? "When they respond to consumer inquiries with a written proposal, they do not hear back from them unless the contract is accepted." In our daily life, none of us, contractors or consumers tend to act this way. We usually return phone calls to people that we know. We respond back to provide feedback or at least an answer to each other.

Imagine that you call a doctor's office to make an appointment. They call you the day before your appointment to confirm. If you have to cancel your appointment, you would call and inform that you will not be coming in to see the doctor. This is just a common courtesy and a requirement of civility. Why should we act differently when it comes to contracting business?

We can all do better, as contractors and consumers, if we only returned phone calls and provided feedback (yea or nae) to written proposals that we receive. Happy Easter to all that celebrates it.

Best Regards,

Murat Aksu
A1A
April 5th, 2007

Monday, January 15, 2007

How long is my contract proposal valid?

Contractors, especially those who are good at what they do, are kept very busy. On the average , a good contractor will provide between
5 to 10 proposals per week. The sales cycle for construction contracts average out to be 1 to 3 months. When do these contract proposals expire? Can a homeowner force a contractor to execute a contract 3 months after it was written?

The Virginia State regulation for construction contracts requires that an expiration date should be written in every proposal. The expiration date for the contract should be a reasonable amount of time. The contract proposal will expire on the date stated in the written proposal. If an expiration date is not included in a written contract, the State allows for a "reasonable time" for its validity. The word reasonable time is very flexible and it can mean different things to different people. Common sense is that a contract proposal should generally be valid for 30 days. Beyond that it should be re-written.

Good luck.

Murat Aksu
01/15/2007
www.a1ateam.com

Did my contractor abandon me?

Let's say you found the perfect contractor for your project, and you signed a written contract with him. He said that the project should last about 15 days to finish. He took 30% of the contract cost up front, and he started the demolishing part of the project. He left your house one day, and he said he will be back the next day at 9AM.

It has been 5 days since then. You have been calling him and he has been giving you the runaround. He tells you that he will be there tomorrow for sure, and that he is certain the project will be completed on time. You say to your self "Is this person a crook? Did my contractor abandon me?"

The answer is that your contractor did not abandon you, yet, in the eye of the State. Rules governing contractors state that the home owners need to allow reasonable amount of time to contractors in order to complete the project stated on your written contract. In the example above, the contractor had stated that the project would be completed in 15 days. The scenario states that the contractor has been gone for 5 days. In this case, the homeowner should wait for another 10 days and contact the contractor via certified mail. If the contractor does not come back to finish the project, homeowner should contact Virginia Department of Professional and Occupational Regulation.

Now, my personal opinion. I think that any contractor that does not keep his promises and leaves projects unfinished is a crook. You should read my article on "How should you select your next contractor?" in order to weed out these types of fly by night operations. Checking references, and verifying past work history will help you eliminate 90% of the crooks. You need to catch the rest by being diligent about your down payments, and your project schedule.

Good luck.

Murat Aksu
01/15/2007
www.a1ateam.com

Sunday, January 7, 2007

How should you select your next contractor?


There are few simple rules that you should follow in selecting a contractor for your next remodeling or construction project:

  1. Check the references of the contractor with at least 3 of his/her customers.
  2. Ask questions about project timeliness, workmanship, cleanliness and behavior under duress.
  3. Ask to see if they would hire him again.
  4. Require the contractor to show pictures of past projects.
  5. Ask for work progress pictures in addition to before and after pictures.
  6. Check the contractor's state license for complaints and expiration.
  7. If the contractor asks you to get the necessary permits, be suspicious of his ability to work in your State.
  8. Ask for a written contract.
  9. Ask for an updated contract for any changes that occur during the project.
There are many articles written about selecting contractors. One of the best ones I have seen can be found at Federal Trade Commission's web site at: http://www.ftc.gov/bcp/conline/pubs/services/homeimpv.htm

Also, read my previous articles at:
http://constructionbusinessinvirginia.blogspot.com/2006/12/consumer-protection-against-contractor.html
and http://constructionbusinessinvirginia.blogspot.com/2006/12/are-there-different-types-of.html

Good luck and have fun.

Murat Aksu
A1A Team
www.a1ateam.com

Wednesday, January 3, 2007

How should you pay your contractor?


The last contractor I talked to asked for 50% down payment before he even started the project? Is this normal? What is the norm in payment schedules for construction projects? The answers to these questions depends on the size of the project and the type of solicitation. Let me try to explain.

If you hire to contractor for a small project such as kitchen backsplash tiling that will last for 1 to 2 days, you should pay 50% upfront and 50% upon completion of the work described on the signed contract. On the other hand, if your project is larger, such as bathroom or kitchen remodeling, you should break up your payments to 3 different parts such as demolition, preparation and installation.

Your payment options also differ based on the solicitation used to sell services. If the contractor left a brochure in your mailbox or your door, you should not pay more than 30% upfront. This is a State of Virginia recommendation and it also requires that contractors provide consumers with a copy of Statement of Consumer Protection from Department of Professional and Occupational Regulation. You can find a copy of the document at http://www.chesterfield.gov/communitydevelopment/buildinginspection/residential/TechGuides/hiringcontractor.pdf

Regardless of any suggestions, payment schedules should be based on the needs of the individual project. One thing is certain, you must have a clear understanding between your contractor and yourself about your payment expectations. Most importantly, the schedule should be in writing in your contract. Check your contractors references, check on his license status and have a clear contract. Enjoy your project.

Murat Aksu
A1A Team
www.a1ateam.com

Friday, December 29, 2006

Last posting of 2006, Karma and Construction Business


Karma (Sanskrit kárman "act, action, performance"[1]; Pāli kamma) is the concept of "action" or "deed" in Dharmic religions, understood as a term to denote the entire cycle of cause and effect as described in the philosophies of Hinduism and Buddhism. All living creatures are responsible for their karma - their actions and the effects of their actions. (Source: Wikipedia)

You may say "What does Karma have anything to do with the construction business?" Very little on the surface. As the matter of fact, many of the readers may dismiss this posting as non-sense. I cannot prove the existence of Karma in life, let along in the construction business. I cannot touch, put my finger on or taste Karma, but I believe in it and I try to live my life and conduct business accordingly.

As the description above indicates, all living creatures are responsible for their karma - their actions and the effects of their actions. Therefore, "it takes two to Karma" in the construction business. Contractors need to follow the law and the rules of business in running their enterprises. They need to realize that remodeling and/or new construction is not just a transaction for the customers, but an emotional investment. For most people, money spend on construction is the biggest sum they will ever spend in any endeavor. Contractors need to understand and nurture their customers.

Contractors also need to believe that what goes around, comes around. Taking advantage of customers, unkept promises, cutting corners will eventually catch up with them in their business or personal life. Approaching customers with an open heart and honesty will help contractors gather positive energy they need for the longevity of their business and their life.

Consumers also have a part to play in the tango of Karma. Due diligence, checking references and licenses are the minimum steps you need to take before hiring a contractor. Afterwards, you need to trust the higher powers and your contractor to do a good job for you. Don't stress over the project unnecessarily, and don't bring about unneeded negative energy. My past experiences showed me that customers who are more relaxed about their projects will experience fewer issues. Contractors are there to handle construction related issues, let them deal with it.

In 2007, I wish all of you a healthy and a happy year. Happy new year.

Murat Aksu
12/29/2006

Tuesday, December 26, 2006

Mold/Silverfish issues and how to rescue your shower?



Lately, we have been receiving an increasing amount of phone calls from customers complaining about mold, cracked or loose tile problems in their showers. Our customers are surprised that this is happening to them because their homes are relatively new, 3 to 7 years old.

Unfortunately, we are not at all surprised that our customers' showers are suffering from mold, silver fish, cracked or loose tiles. Here is why:
  1. Most builder built showers have either the 4x4 or the 6x6 builder quality tiles.
  2. These tiles are often tightly installed with the built-on spacer of the tiles.
  3. Lack of space between the tiles means that limited amount of grout can be worked in between the tiles.
  4. Furthermore, most of these tiles are directly installed on dry walls (regular or green) without the use of a vapor barrier layer or other protective materials.
  5. Sealed or not, water eventually penetrates through the grout lines and completely soak up the dry wall behind the tiles.
  6. This causes tiles to come loose, mold and silver fish to grow behind the walls.
Result is an unusable shower that is also a health risk to you and your family. Here is what Environmental Protection Agency writes about mold:

"
Molds produce tiny spores to reproduce. Mold spores waft through the indoor and outdoor air continually. When mold spores land on a damp spot indoors, they may begin growing and digesting whatever they are growing on in order to survive. There are molds that can grow on wood, paper, carpet, and foods. When excessive moisture or water accumulates indoors, mold growth will often occur, particularly if the moisture problem remains undiscovered or un-addressed. There is no practical way to eliminate all mold and mold spores in the indoor environment; the way to control indoor mold growth is to control moisture."

Things you should know about mold problem and prevention:

  1. Potential health effects and symptoms associated with mold exposures include allergic reactions, asthma, and other respiratory complaints.

  2. There is no practical way to eliminate all mold and mold spores in the indoor environment; the way to control indoor mold growth is to control moisture.

  3. If mold is a problem in your home or school, you must clean up the mold and eliminate sources of moisture.
  4. Fix the source of the water problem or leak to prevent mold growth.
  5. Clean mold off hard surfaces with water and detergent, and dry completely. Absorbent materials such as ceiling tiles, that are moldy, may need to be replaced.
  6. Molds can be found almost anywhere; they can grow on virtually any substance, providing moisture is present. There are molds that can grow on wood, paper, carpet, and foods.
Another nuisance found along with mold is Silverfish.

"Silverfish is about 1/2 inch long, with a uniform silvery color over the upper surface. Their bodies are long and slender, flattened. The bodies are broad at the front, and gradually tapering toward the rear.
They can be found almost anywhere, but prefer damp, moderate temperature places such as basements, laundry rooms, and under sinks.

  • Silverfish prefer a dark, moist environment and require a large supply of starchy foods or molds.
  • Silverfish are considered to be nuisance pests that can feed on wallpaper pastes, natural textiles, books, and papers.
  • Silverfish also feed on mold or fungi that can grow on various surfaces.
  • They are fast-moving and can travel throughout buildings.
  • Silverfish can damage book bindings, wallpaper, paper goods and dry foods. They may eat holes, irregular shaped in the wallpaper to get to the paste.
  • They may leave a yellowish stain on fabric."
Source: http://doyourownpestcontrol.com/silverfish.htm

As described above from official resources, mold and silverfish problem have serious health effects and require the elimination of sources for moisture. A1A Contractors have been eliminating the moisture problem by using a protective membrane layer between tiles and dry walls in the shower and bathroom areas.

Our choice for this protective layer is a product offered by Schluter Shower Systems.

This system completely seals off the walls and prevents any moisture from damaging the dry walls. This prevents mold and silver fish growth as well as preventing tiles from becoming loose and separated. Schluter Shower Systems is not the only product line available in the market, but it is one of the most advanced technologies for your shower and bath areas.

The idea is to eliminate the source of moisture to save your health and your shower.

Murat Aksu
A1A Contractors
December 26th, 2006

Should consumers act as their own General Contractor?

Remodeling or building a house is one of the biggest investments a person makes in his or her lifetime. Acting as a general contractor in one of the most important investments of a lifetime is similar to managing your own retirement investments in the stock and bond markets. Some of us do a good job and some lose their shirt and mind in the process.

Before taking the big step of acting as a general contractor, consumers should consider few issues and risks associated with this task. Let's first look at the definition of a general contractor:

"One who contracts for the construction of an entire building or project, rather than for a portion of the work. The general contractor hires subcontractors, such as plumbing contractors, electrical contractors, etc., coordinates all work, and is responsible for payment to the said subcontractors."
Source: www.titleguarantynm.com

As the description above implies, the general contractor is the ultimate authority and the responsible party in any construction project. Based on this description, there are important factors that a consumer who would like to be their own "General Contractor" should be prepared to handle:
  1. Qualifying, negotiating, hiring and managing of subcontractors
    • Good subcontractors are often very busy and very hard to secure.
    • Most consumers are not experienced in construction business and do not know the market rates.
    • Managing independent contractors is an art form.
    • All of the above requires tremendous time and effort from a home owner acting as a general contractor.
  2. Coordinating multiple subcontractors
    • Coordination of subcontractors requires knowledge of construction business and building codes.
    • Construction is often a series of sequential tasks requiring good timing and scheduling skills (and availability on behalf of subcontractors).
    • Most consumers do not know enough about state building codes and construction business to be able to create a workable schedule for subcontractors.
  3. Permits, Insurance, Liability and Risk
    • When a consumer acts as the general contractor, State requires him/her to obtain a construction permit for the project.
    • With the permit comes the liability for all persons coming into your property.
    • This means that if a worker becomes injured while working on your property, you will now be liable for the workman's compensation of that person.
    • You may also be exposed to other risks associated with law suits involving employees and their employers (subcontractors).
    • Finally, as the general contractor, you will be the ultimate authority and responsible party for all aspects of the project and the finished work. If you do not like the finished project, you just have to learn to live with it.
The question then becomes, "Can you do it?" The answer can be found within you. Do you have the time, experience and the patience to manage multiple subcontractors for your project? Are you adequately insured to manage the risk of working with 3rd parties? If you answer "No" to anyone of the questions above, you should then employ a reputable General Contractor to do the job for you. Otherwise, trust yourself and your abilities to get the job done.

Murat Aksu
December 26th, 2006

Monday, December 25, 2006

Are there different types of contractors?

"Are you a licensed contractor?" This is a question that I often get asked by my customers during our initial meeting, and that's a good thing. It shows me that consumers in the State of Virginia are getting smarter about hiring State licensed contractors. However, often Consumer's knowledge or due diligence stops at that point. In this brief posting, I would like to enhance consumer's understanding of different types of contractor licenses offered in the State of Virginia.

State of Virginia offers 3 different types of contractor licenses; class A, B and C. Let's start with the lowest level license, C. This class of license is the entry level to construction business as a contractor. State of Virginia does not require holders of class C licenses to take a qualification exam. Instead candidates are obligated to attend a 8 hour long class offered by a state authorized trainer. This is the same class that candidates for all class type license must attend, including A and B. The class generally covers various topics at a high level including legal, business and some local building code. Once the candidates for class C license attend and complete the class, they are qualified to become State certified contractors. Their licenses remain valid for the duration of 24 months. This type of license comes with certain limitations, most importantly project size and annual business volume. C class license owners are limited to work on projects that are under $7,500 per contract and less than $150,000 per annum.

The next level up is class B type contractor license. Apart from attending the mandatory class, candidates must also pass 2 exams in order to qualify for this classification. The exam is designed to test the business, legal and some construction code knowledge of the candidates. The monetary limitations for this class are less than $120,000 per project and less than $750,000 per annum.

The final level is called class A type contractor's license. The holders of this license are required to take the same 2 exams as the class B license holders, and an additional exam that generally tests their understanding of finances and running a business. State does not place any monetary limitations tby projects as well the total volume of annual business for these license holders.

Most counties and cities started to require a "Builder" license for any construction projects involving new construction as well as additions. This classification requires an additional exam that tests the knowledge of candidates on topics such as reading a blue print, state construction codes and safety. Holders of both class A and B licenses can qualify to become "Builder" provided they obey by monetary limitations imposed upon their licenses by the State.

You may say, "What if I have a project that is less than $1,000 per single contract?" In that case, State does not require companies to be licensed for any class of contractor. So you can use your friend from church, work or school for small projects costing less than $1,000 without having to verify if they are state licensed.

I hope this posting will help you understand the different type classes of State contractor licenses. Make sure that your contractor and the sub contractors employed by him/her are State licensed. Verify their licenses by visiting the following URL and clicking on License Lookup:

http://www.dpor.virginia.gov/dporweb/servicesconsumers.cfm

Murat Aksu
December 25th, 2006


Saturday, December 23, 2006

Consumer Protection against Contractor Fraud in Virginia

I decided to write about this topic after I found out about one of my customer's terrible experience with a shady construction contractor in the Ashburn, Virginia. This posting is a brief introduction to how my company does business and also very valuable information about consumer protection laws in Virginia that anyone thinking about hiring a contractor should know.

My customer contacted my company A1A Contractors for their kitchen back splash project. Their kitchen was beautifully remodeled with French Country style cabinets, granite top and olive green wall paint. They asked for a grid and diagonal backsplash with accent pieces to match.

This very busy husband and wife team found it hard to go and select tile samples for this project. I decided to help them out by selecting samples from Conestoga Tile and Dal Tile company stores around Ashburn, VA and delivering them to their home. Once they selected the tiles, I ordered them and passed on the contractor discount (20%) to my customer. The construction phase lasted about 5 hours (we worked while they were at work) and after the final clean up we left the house. At about 6:30PM that night, my customer (the wife) called me and invited me back to give me the final payment for the project. She was so excited and said that she could not believe how beautiful the backsplash looked in her kitchen. (Pictures)

I went over to their house to collect the final payment. As the customer was writing the check he told me about how happy they were about doing business with my company. They proceeded to tell me that a contractor they found through Contractor.com took $2,500 of their money and disappeared without finishing their kitchen remodeling project. They then turned to me and said "Would you be offended if we added an additional $65 to the final payment because we are so happy with you?" I was very happy, but very saddened about their past negative experience.

Unbeknown to many consumers, many states like Virginia have passed Consumer Protection Acts against shady contractors. Furthermore, there are Monetary Funds set up to help consumers recover all or part of their expenses including legal fees. In the State of Virginia, the act is called Virginia Contractor Transaction Recovery Act. This act provides and avenue by consumers to file complaints against shady contractors licensed by the State of Virginia Board of Contractors.

If the Board finds that the consumer has be wronged, he and she (family members can claim individually against a contractor) can recover all or portion of their investment from the Transaction Recovery Fund (
The maximum claim of one claimant against the Fund based upon an unpaid judgment arising out of the improper or dishonest conduct of one regulant in connection with a single transaction involving contracting, is limited to $20,000, regardless of the amount of the unpaid judgment of the claimant.)

The reason why I want to write about my customer's experience good and bad experience with Construction Contractors is as follows:
  1. Just like in life, there are good and bad people involved in the construction business.
  2. As a consumer, you should know your rights and select reputable contractors.
  3. Contractors need to educate consumers about their rights in order to weed out shady characters out of this business.
Consumer protection is only good if it is used.

Murat Aksu
12/23/2006