25 May Builders Licence Lending
Builders Licence Lending
Why do builders lend out their licenses to their mates? Wouldn’t have a clue. But its not good or safe practice at all!
I hear so many stories day in and day out of registered builders lending their building licence to mates for a whopping $20,000 or $50,000 per site. Obviously this is not healthy for the licensed builder, let alone the unregistered builder. It’s important to note that whilst most builders entrusted by their mate with something as valuable as a builders licence are actually apt and know what they are doing, there is still too much on the line for both parties.
Licence lending does come back to bite registered builders who engage in this practice. If the mate you are entrusting is not experienced, you can find that the project your licence is attached to has been under quoted, failed to be completed, not built to the Building Codes of Australia and the like. Your ‘mate’ might even disappear, and you find yourself up against a construction lawyer who then advises the aspiring home owner to go after the registered builder with the home owners warranty policy. That will generally end up with the licenced builder fixing up the mess or risk being sued. If the insurer jumps in, then the insurer (of the home warranty cover) claw back monies the real builder.
If you are a builder with a builders licence, don’t lend our your licence. Instead, if you have a mate you can trust, hire them full time during the duration of the project. Oversee every stage and rock up to the site often. You’ll be going yourself a favour and your mate a favour as he will gain the right experience required for a building licence too.
If you have experience as a builder but have not picked up your ticket for whatever reason, it be high time you stop playing the ‘mate’ and did something about it. If you know your stuff, call us today, and we will be sure to help make sure you are Qualified FAST!: 1800 765 295.