• When hiring a contractor, you need to be careful at every step.contractor image by Joy Fera from Fotolia.com
  
  Whether you don't have time to tackle a project yourself or need to employ a specific set of skills you lack (or lack sufficient proficiency in), hiring a contractor is an important process. Doing it correctly will help prevent problems that can cost you dearly in time and money.
  
  

Interview Multiple Contractors

• Don't go with the first contractor you come across. You need to let the contractor know you are shopping for estimates to get his most competitive price. Additionally, talking to a number of contractors will not only give you a better idea of how much you should pay for the project, but you could find out additional information about what the job will (or should) entail. You can use this information when negotiating an agreement with the contractor you end up selecting.
  
  

Check Their Registration

• Check that your contractor is registered with the appropriate organizations for the work he performs. He should include his license or certification number on his advertisements and business cards. Contact the organization's governing authority and verify the number is valid and current. Go further in your research on the contractor and see if you can find any complaints filed against the contractor you are thinking about hiring. You can do this by checking with their professional organizations, the Better Business Bureau and checking reviews on any contractor reference sites on which he is listed. You can, and should, ask the contractor for references you can contact to ask about his work.
  
  

Check Permit Requirements and Liens.

• Check with your local government to see what, if any, permits you need for the work that will be done. You could be fined if these are not filed for and obtained, so you will want to check up on this yourself. Additionally, check your area's regulations regarding liens that could be put on your property while the work is being done.
  
  

The Contract

• Be careful when you are drafting an agreement with the contractor. This document is your only legal recourse if you believe that the contractor has left the job unfinished or otherwise not fulfilled your agreement. Make sure that all aspects of the job are clearly set out and not left to interpretation. These include fees, payment terms and dates, precise services to be rendered, building materials, and subcontractors that will be used, warranties on the work and the process for modifying orders.
  
  

Monitor the Work

• Monitor the work as your contractor performs it. Make sure the work is being done according to the schedule the contractor specified, and meet with the contractor regularly. For your own legal protection, make sure that any changes are put in writing. Do not trust or rely on verbal agreements. Check that the contractor obtains the necessary permits. When all the work is completed, make sure that any liens against your property are removed before you issue final payment.