Does Size Matter?

[socalsun]

Been talking to various installers. One is highly rated on Angie's List but he's a one person, sole proprietor, no store or office, works from home/truck. He's properly licensed but carries no Workman's Comp Insurance. Should I consider this installer or eliminate him as too small?

I'm looking at another installer with good ratings but his company is large. They have a store and do lots of installations for large construction projects. Is this guy too big for a residential job, if I need something will I get lost beside his bigger clients?

Any insights/suggestions appreciated.

[Windows on Washington]

If workman's comp is not legally required (i.e. sole proprietor) I am not sure how you can hold that against him.

All of that being said, the sole proprietor probably has less to loose than the established company should he want to close his doors.

I am a fan of small businesses as we are one. I think if you played the odds, the business with some modicum of a staff might be a safer bet for the long run but nothing is for sure these days.

This is, of course, assuming all things are equal. How did the two compare on the other tangibles?

[socalsun]

I'm concerned about workman's comp because he'll have workers helping and I've been told if there's an injury I can be sued for it. Don't know if that's true or not.

Even the biggest installer is a small business. (No big box stores or national chains/franchises involved.) But they're big enough to have a store and the installers are all owners or employees covered by their workman's comp.

They seem equivalent in reviews, etc. The biggest difference is if the sole proprietor gets sick my work will be delayed. If he retires in a few years and I have problems I have nowhere to go except the manufacturer. The other installer is a more substantial, ongoing business. At one point the sole proprietor had a price advantage but they're now the same price.

I'm not sure the sole proprietor is an authorized dealer. He doesn't show up in the authorized dealers via their web site but I'll have to phone to make sure.

Final difference: the Sole has been licensed only about 5 or 6 years while the other business has been licensed for 20.

I'm not sure which of those, if any, matter.

[Windows on Washington]

Sounds like you are leaning one direction right now...

[HomeSealed]

+1... Open and shut decsion IMO.
A one-man operation can be a viable choice if the price is so great that it outweighs the security of dealing with a company where you can walk in and talk to somebody if they don'd answer your phone calls... When price is the same, not so much. Even in the former you have to be someone not completely averse to some amount of risk.

[masterext]

No workers comp is needed. His employees( even if subs) are technically working for him NOT you. If anyone gets hurt, you are totally protected by his liability insurance.
As long as you have a written contract that says his company is performing the work, you have no worries whatsoever.
If you dont have any written contract,the court would view it as you picking up a day laborer and working for you as your helper opposed to you hiring an actual company to perform the work. If the contractor you hired with a written contract picks up a day laborer and the day laborer gets hurt, its the contractors liability insurance that protects you.
Thats why homeowners who think they are beating the system by purchasing windows on their own and having some " jack of all trades or friend of the family " do in the install, they are at risk of liability.
Look at it this way, a small company can give you more individualized attention whereas a larger company may have you go through a million channels in order to resolve a problem. Try calling Verizon and you will see what i mean. Lol
Look at all the complaints some of these so called larger companies have as well, without mentioning any names.
Everything needs to be put into proper perspective.

[HomeSealed]

Comp insurance is required in WI. Companies need it, as well as any sub needs it on themselves and their help... That requirement may vary by state though.

I would concur with masterext on the huge "verizon" type companies though... It sounds like you found a pretty nice balance in a local company that is established with some roots and a good reputation.

[masterext]

It could vary from state to state but i know here in new jersey workers comp is not required, liability is though.
Any contractor in new jersey must have liability insurance, not workers comp. workers comp has more to do with a worker getting wages while he is injured which here in jersey would have nothing to do with the home owner. The Homeowner is totally covered by their contractor having liability insurance.

[socalsun]

From what I now understand in CA... the sole prop isn't required to have Workman's Comp. But, if he brings a worker to the site (which he intends to do) the homeowner could be liable for injuries to the worker. Homeowners Ins would likely cover any suits, but I don't think I need/want the grief when he's not any cheaper than installers carrying WC.

I'm not looking at anybody who could be compared in any way to Verizon. If we used restaurants for scale, I have a local burger joint called Mike's. Mike owns it, has employees, chairs, tables, parking, etc. It's a full business, family owned/operated and completely local. It's like I'm comparing that kind of place with a guy selling burgers out of a push cart on the street. (And I've eliminated MacDonald's, Wendy's, etc.)

I think I just decided I don't need the extra risk of the guy with the push cart. Though, actually, it's the diff between a guy working out of his truck and one with an office, store, and employees.

Thanks for the input, gents. It helped.

[HomeSealed]

From what I now understand in CA... the sole prop isn't required to have Workman's Comp. But, if he brings a worker to the site (which he intends to do) the homeowner could be liable for injuries to the worker. Homeowners Ins would likely cover any suits, but I don't think I need/want the grief when he's not any cheaper than installers carrying WC.

I'm not looking at anybody who could be compared in any way to Verizon. If we used restaurants for scale, I have a local burger joint called Mike's. Mike owns it, has employees, chairs, tables, parking, etc. It's a full business, family owned/operated and completely local. It's like I'm comparing that kind of place with a guy selling burgers out of a push cart on the street. (And I've eliminated MacDonald's, Wendy's, etc.)

I think I just decided I don't need the extra risk of the guy with the push cart. Though, actually, it's the diff between a guy working out of his truck and one with an office, store, and employees.

Thanks for the input, gents. It helped.

You found the sweet spot IMHO... Largest enough to mitigate most of the risk, small enough to get quality service and people that actually care (at least it sounds that way)

[TheWindowNerd]

IN PA it just recently changed.
Used to be that a sole prop could not get WC.
Now it is available but not mandatory.
Good friend of mine who is a ortho trauma doc said self employed people heal the fastest and best.