What is Contract Administration (CA)?
To build there shoul always be a contract between you and the builder called contractor. There is a lot of money at stake and so your builder is also required to secure a bank guarantee that is quite a large sum. Further, your builder may secure loans to be able to pay suppliers or secure discounts before they get paid. You can appreciate that keeping track of what is built, what was changed and what should be paid accordingly is not an easy task. This kind of specialist building “accountancy” is called contract administration. Accountants often undertake such job or estimators / quantity surveyors. But they do it in conjunction with someone who can read the plans and understand what is the original design and what is a change. When the builder is comfortable with it and ready to sign a contract that allows for Construction Administration, it is best if the professional who is most knowlegeable about the design and contract documentation is the one who administers the contract.
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