Your Building Project - Things to Consider
added 20th March 2009
Thinking of starting a building project? One of our directors Andrew Common gives advice on some of the things you need to consider.
We've all heard horror stories about building contractors but please bear in mind that in the right hands your project will run smoothly, on budget and to your satisfaction. Thank you for taking the time to read these notes I hope that they are informative and helpful. I will continue to add more information over the coming weeks so watch this space!
Andrew
Planning application - Where do I start?
As of 1 October 2008 new regulations came into force and in some cases planning permission may not be required. First of all, visit your local authority web site (e.g. www.rushmoor.gov.uk) and look over the planning menu. Fill in the Planning Application Determination Form and submit this to find out if you need permission. If you need permission then you may need drawings of your build made up before you can go any further.
Drawings? Where do I get those?
Consult with an architect. The right architect will listen to what you have to say and will help turn your ideas into reality.
To start with, it's probably best to ask for outline planning drawings. These drawings are in the most basic form and show the site location and proposed works. You will need to submit these to your local planning office to seek permission for the project.
When looking for an architect, 'phone around and ask questions:
- Fees: These will vary depending on the amount of time the architect spends on your project. There will be a fee for outline planning drawings, and their submission to the local authority, however these fees are comparatively small compared to the cost of a full set of commissioned drawings and if in the event of your application being turned down the initial outlay has been at a minimum.
- Beware! Unless your architect is a Quantity surveyor they cannot give you an accurate costing for your project. As a long established company we often hear "The architect said it will cost this much". But bear in mind that what the architect might be doing is telling you what you want to hear so that you will commission them.
What happens when my planning application is accepted?
Once you have planning permission for your outline planning drawings the next step is to comply with building regulations. This can be done in one of two ways.
- You can commission your architect for these requirements and subsequent submission (there will be fees for both parts). Or,
- You can commence on a building notice (more fees). A building notice means that the local authority will inspect the project as work progresses without having received detailed drawings. Providing you have chosen a competent, qualified contractor who is willing to do this then there shouldn't be a problem.
Do I have to pay VAT?
Unless your project is for a registered charity or you are building a new house you will be required to pay VAT. If you are building a new house you can claim back the VAT on materials and labour once the building is completed. A building is generally said to be complete is when a certificate of completion is issued by your local planning authority. Upon completion, you have 3 months to claim back the VAT so make sure that you keep all of your receipts during the project. You only have once chance to claim the VAT back so make sure you get it right!
How do I find competent contractors?
This is arguably the most important part of the building process. Choosing the right contractor can save you a lot of trouble and heartache. Here are some things to look for when considering whom to hire:
- Recommendations: A competent, reliable contractor will have a good portfolio to show you and a list of very satisfied customers that you can contact for feedback. A recommendation from a friend or colleague is a good first indicator of suitability.
Although it's tempting to go for the cheapest option, your choice shouldn't be based on cost alone. Remember you will still be spending a large sum of your hard earned money and you need to get this right from the start. You shouldn't consider an incompetent contractor even if they are the cheapest.
- Qualifications: Are they qualified?
For example, I have 25 years in the construction industry and a NVQ level 4 in Site Management that took 2 years of study. This allowed me to become a member of the Chartered Institute of Building. Our other director has 30 years of building experience so with us you are in safe hands! Allegedly, there are some contractors who are in the "Guild of Master Craftsmen" (etc.) on evidence of their work only. Beware!
- Communication: Can the contractor be contacted during office hours? Is there an emergency number "just in case"?
Even if you never need it, it's very reassuring to know that in an emergency you can reach your contractor at any time of the day or night.
- Timetable: During their previous jobs, did the contractor supply a reasonable timetable? Did the contractor keep to this timetable?
You should bear in mind that there may be slight variations to the timetable due to weather etc.
- Budget: During their previous jobs, was the contractor on budget?
If the contractor has estimated the project correctly there should not be any extras. However if there are extras - for example if, on inspection, ground conditions require the foundations to be dug a little deeper, or as a client you request extra work not originally estimated for then a Confirmation of Verbal Instruction (CVI) form should be completed. This form will generally be filled out prior to the extra works taking place and will contain a detailed explanation of the extras and a costing for the extras. The CVI will be agreed and signed by the client and contractor for clarity so that everyone knows where they stand.
- Health and safety: Do the contractors have suitable preventions in place?
This applies to site safety, first aid etc.
- Work Load: How many projects is the contractor running at one time?
At A.R. Common & Son we only do one job at a time so that your project has our undivided attention.
- Payment: How does the contractor request payment for their work?
It is very important that you get written confirmation of the quote and what work the quote covers. The contractor should also provide a written contract. At A.R. Common & Son on acceptance of our written estimate we provide a written contract that includes details of the cost of the project, a week commencing start time, a timetable, a practical completion date and a schedule of payments.
Be wary if the contractor asks for lumps sums in advance. We ask for a deposit of 1.5% of the total cost to show our commitment to each other. We also ask that on producing an invoice we have a weekly payment as work progresses. As a rule we never draw more payment than work completed at any one time. We have accounts with all the major merchants and service suppliers and their terms are monthly.
- VAT: Any long-standing company should be VAT registered as the company's annual turnover will require it by law. At A.R. Common & Son we are a VAT registered company and we charge VAT at the relevant rate.
As you can see, there are many things to consider, but it is vitally important that you start your project well prepared. It is always best to consider these things now, rather than later when delays could well cost you money and heartache.
Thank you for taking the time to read these notes I hope that they have been informative and helpful. In the right hand your project will run smoothly on budget and to your satisfaction. Please feel free to contact us on the contact page if we can be of any further assistance.
Best of luck with all your building projects.
Andrew Common
ICIOB