Understanding Subcontractors in Construction: Roles, Benefits, and Examples

A subcontractor is a person or business that signs an agreement with a contractor to carry out a specific portion of the contractor's obligations under a larger contract. In other words, a subcontractor is hired by a contractor to perform some or all of the work that the contractor has agreed to do for the client.

For example, if a contractor is hired to build a new house and they don't have the necessary expertise or resources to complete the project on their own, they may hire subcontractors who specialize in specific aspects of the construction process, such as electrical work, plumbing, or carpentry. The subcontractors will then be responsible for completing their assigned tasks to the satisfaction of the contractor and the client.

Subcontractors are often used in large-scale projects where one company does not have the resources or expertise to complete all aspects of the project on their own. By hiring subcontractors, the contractor can focus on their core competencies while leaving other aspects of the project to specialized professionals.