Eric in North TX wrote:
If you want my advice don't give them a dime until the job is complete.
Most contractor horror stories involve paying before the job is done,
that includes partial payment. I fronted one guy $200 so he could get
some front tires for his truck, he bought the cheapest ones available
and he and his crew smelled of alcohol the rest of the week. I was
probably lucky, at least they showed up, but some of the lines in the
roof aren't as straight as they might have been. As to materials, part
of the act of becoming a contractor, as opposed to a workman, is to
have the resources or lines of credit to buy the materials up front.

You fronted a guy $200 bucks so he could buy _tires_? Let me take a
guess - he was low bidder, right?

Some localities stipulate what the maximum amount of down payment can
be. If the contractor asks for more than that, it's a red flag.

A contractor is usually hired to build something, not finance it. Some
localities, like mine, prohibit contractors from intermingling funds.
The contractor can't use money from another job to pay for stuff on
your house. They shouldn't have to - you shouldn't _want_ them to.
Your method - don't pay anything until the job is done - will very
effectively eliminate all contractors who run their companies like
businesses. The contractor will simply see a greatly increased risk to
them, and no benefit at all.

If you mentioned your proposed payment schedule up front, you wouldn't
even get a phone call much less a bid. That would leave you dealing
with people that can't come up with $200 for tires.

Pay as you go is the only way to go for both parties.

R