5 tips for choosing the right contractor, with a checklist and red flags

A renovation stands or falls with the tradesperson you hire. Choose the wrong contractor and you risk delays, extra costs, sloppy work and, in the worst case, an unfinished building site. Fortunately there are clear signals you can watch for, and a few simple checks you can carry out in an hour. In this article we set out five tips, each with concrete steps, and explain what to do if things still go wrong despite everything.

1. Check the company: KvK, VAT number and insurance

Every legitimate business in the Netherlands is registered with the Kamer van Koophandel (KvK, the Dutch Chamber of Commerce). Ask for the KvK number and look it up via kvk.nl. Look at more than just whether the number exists:

• Activity: is the company registered as a construction company, contractor or in a related building activity? A registration as "other services" or a company that was set up last month deserves extra questions.
• Business address: is there a real business address, or only a PO box or an address that, on closer inspection, turns out to be a private house in another province?
• Legal form and director: for a bv (private limited company) you can see who the director is. A director with a string of bankrupt building companies to their name is a reason to walk away.
• VAT number: a contractor who charges VAT must state a VAT identification number on the quote and the invoice. You can check this number via the Belastingdienst (the Dutch Tax Administration).

Also ask about two kinds of insurance. Business liability insurance (AVB, aansprakelijkheidsverzekering voor bedrijven) covers damage the contractor causes to your property or to third parties, for example a leak at the neighbours' caused by drilling through a pipe. CAR insurance (Construction All Risks) covers damage to the work itself during construction: a storm that damages the open roof, theft of materials or a collapsing scaffold. CAR insurance is customary for larger renovations. Ask for a copy of the policy schedule or an insurance certificate and check that the cover is still running.

2. Read reviews and visit a reference project

Reviews give you a first impression of how a contractor works. Don't just look at the star rating; read the text as well. Are deadlines met? Does the contractor communicate clearly? How do they deal with criticism? A single negative review among many positive ones is normal; a pattern of the same complaint (extra work, not calling back, not finishing) is not. On VerbouwPro, reviews are linked to jobs that were actually carried out, so you know they come from real customers.

For a larger renovation, go one step further:

1. Ask for two or three references from comparable projects in the past year.
2. Call the client and ask about the schedule, the communication, the extra work and whether they would hire the contractor again.
3. Ask whether you may come and look at the work. A contractor who is proud of their work will be happy to arrange this; someone who dodges the question usually has a reason for doing so.
4. During a visit, look at the details: the finish of sealant joints, crisp corners, the neatness of the pipework. That tells you more than the showroom photos on the website.

3. Request several quotes and insist on itemisation

Compare at least three quotes before you make a decision. A large price difference is a signal, not a conclusion: too cheap can mean that corners are being cut on materials or hours, or that a lot of extra work will follow later; too expensive is not automatically better. The most important thing is that the quotes are comparable. A quote that only says "renovate bathroom, total price" cannot be assessed.

A good quote contains at least:

• A description of the work for each part (demolition, pipework, tiling, finishing).
• A breakdown between materials and labour, with the hours charged or a fixed contract price.
• Clearly marked provisional sums and an agreement on how extra work is charged and approved.
• The VAT rate, the period of validity, the schedule and the payment schedule.

You can read how to go through such a quote line by line and spot the pitfalls in our article Comparing quotes: how to read a building quote.

4. Put agreements in writing and pay in instalments

Record everything in a written agreement: the price, the schedule with start and completion dates, which materials will be used, who arranges the permit, how extra work is handled and what happens in the event of delays. Verbal agreements are hard to prove. Many trade associations and Vereniging Eigen Huis (the Dutch homeowners' association) offer model contracts and general terms and conditions drawn up specifically for consumers; these are more balanced than a contractor's own terms.

When it comes to paying, three rules are important:

• Never pay everything up front. A deposit for materials is customary, but a contractor who wants to receive the full amount before starting leaves you with no leverage at all.
• Pay in instalments linked to milestones: for example at the start, after the shell work, after finishing, and the final instalment only after an approved handover.
• Hold back the final instalment until the snagging points have been resolved. This is entirely normal in construction and is often stated as such in the general terms and conditions.

Pay by bank transfer, never in cash without an invoice. You need an invoice for the guarantee, for your insurance and as evidence in a dispute.

5. Look at quality marks, guarantees and your own gut feeling

Quality marks are no guarantee of craftsmanship, but they do say something about a company's willingness to be assessed. The best known in housing construction:

• BouwGarant: a quality mark for contractors who meet requirements on professional competence, financial stability and customer satisfaction. Affiliated contractors can offer a completion guarantee and a repair guarantee for renovations, so that the work is still finished if the company goes bankrupt in the meantime.
• Woningborg: mainly known for new-build homes, but also active in larger renovations, with a guarantee certificate that covers completion and the repair of defects.
• Membership of Bouwend Nederland (the Dutch construction industry association) or a trade association: members are bound by codes of conduct and often by an independent dispute resolution scheme.

Always ask how long the guarantee on the work lasts, what it covers and whether it will be put in writing. A guarantee on materials (from the manufacturer) is something different from a guarantee on the work carried out.

And finally: trust your gut feeling. Does a contractor respond slowly or vaguely to your questions, refuse to go into detail about the quote or put pressure on you to sign quickly? Those are bad signs. A good tradesperson communicates proactively, is honest about the schedule (even if it is later than you hoped) and has no problem with you requesting other quotes.

Red flags: when you are better off walking away

• No KvK number, no fixed address, or a company that has only just been set up without verifiable references.
• Only a mobile number and a generic email address, no company name on the van or the invoice.
• A quote without itemisation, or a price that is valid "today only".
• A request to pay everything or a large part up front, preferably in cash and "without VAT".
• A contractor who personally offers to work "without a permit, just this once".
• No answer to the question about AVB or CAR insurance.
• Turning up at your door unsolicited with the story that your roof or facade urgently needs repairing.

What to do in a dispute with your contractor

Even with good preparation, things can go wrong: the work is not finished, there are defects or the bill is much higher than agreed. In that case, follow these steps:

1. Put it in writing. Describe the complaint concretely, take photos and send an email or letter in which you give the contractor formal notice of default and a reasonable period to resolve it.
2. Withhold payment of the final instalment in proportion to the defect; this is called suspension and is legally permitted if the contractor does not fulfil their part.
3. Disputes committee. If the contractor is affiliated with a trade association that has a dispute resolution scheme (such as through BouwGarant or Bouwend Nederland), you can submit the dispute to De Geschillencommissie (the Dutch Disputes Committee). This is faster and cheaper than going to court, and the ruling is binding.
4. Legal expenses insurance. If you have legal expenses insurance, check whether consumer disputes about renovations are covered. They often are, sometimes after a waiting period. The Juridisch Loket (the Dutch free legal advice service) can also advise you on your position free of charge.
5. Independent expertise. In a technical difference of opinion, a building surveyor or firm of experts can draw up a report that you can use in proceedings.
6. The court. If nothing else works, the kantonrechter (subdistrict court, for lower amounts without a lawyer) can give a ruling. A notice of default and a good file are then indispensable.

How to find a reliable contractor in your area

On VerbouwPro you post your job free of charge and receive responses from contractors and other tradespeople in your area. You can see the KvK number, the profile and the reviews of previous jobs, and you choose for yourself whom you invite for a conversation and a quote. Would you first like to know how to prepare your renovation properly? Then read How do you prepare for a renovation?.