Forum Discussion
Subcontractors vs Direct Labor
Would you consider hiring subcontractors instead of hiring direct labor when talent is hard to find in your local market? My business has had a lot of success partnering with other companies to compl...
Sub contracting has its perks but also has its drawbacks. i would recommend subcontracting for the following reasons:
- if you operate with a low overhead and act entirely as a "GC" over subs, it can allow you to make a profit without investing in the infrastructure of a business.
- If your workload is more then your staff can handle and only do so until you hire more staff
- If you are subbing someone to execute a niche service that you are not yet set up to do in-house.
Keep looking for good hires, they're out there.
Great breakdown of the pros of subcontracting! I like your point about using sub contractors for niche services and overflow work. How do you decide when it's time to hire in-house instead of relying on sub contractors?
