What is the difference between a general contractor and a project manager?

A general contractor is a licensed business entity legally responsible for the construction work, permit compliance, and subcontractor management. A project manager is a role — often an employee of the GC — who handles day-to-day scheduling, coordination, and communication. On small projects, the GC owner may fill both roles. On large projects, they're separate people.

Does a general contractor do any of the physical work themselves?

It varies. Some GCs are working contractors who perform some trades themselves (often framing, carpentry, or general labor) in addition to managing subs. Others are pure management GCs who hire out all physical work to licensed subcontractors. Both models are legitimate — what matters is that the subs doing licensed trade work (electrical, plumbing) hold the appropriate licenses.

Am I protected if a subcontractor the GC hired does bad work?

Yes — your contract is with the general contractor, not the subcontractors. The GC is responsible for the quality of all work performed under their license, whether done by their own crew or by subs. If a sub's electrical work fails inspection or a plumber's rough-in leaks, the GC is your point of recourse, not the sub directly.

What Does a General Contractor Do? Roles, Responsibilities, and Limits

May 25, 2026 · Guide · 3 min read

The General Contractor's Core Function

A general contractor is the single point of accountability on a construction project. They are responsible for turning your plans and budget into a completed building or renovation — on time, on budget, and to code. Everything that happens on your job site is ultimately the GC's responsibility, whether they personally did the work or managed a subcontractor who did.

What a GC Is Responsible For

Permit Acquisition and Code Compliance

The GC pulls all necessary building permits in their name and certifies that the work meets applicable building codes. They schedule inspections at each required phase and are responsible for correcting any deficiencies that fail inspection. This is one of the most important things a GC does — it's the difference between legal, code-compliant work and unpermitted work that creates liability for you.

Subcontractor Hiring and Management

Most GCs subcontract the licensed trade work — electrical, plumbing, HVAC, roofing — to specialty contractors. The GC is responsible for:

Selecting licensed, insured subcontractors
Negotiating subcontracts and scope
Scheduling subs in the correct sequence
Verifying the quality of each sub's work before the next phase begins
Paying subcontractors and collecting lien waivers

Material Procurement

The GC manages material ordering, delivery scheduling, and storage on site. This includes coordinating lead times — custom cabinets that take 8 weeks must be ordered before framing is done, not after. A GC who mismanages material procurement is a common cause of project delays.

Site Safety

The GC is responsible for maintaining a safe job site — proper scaffolding, fall protection, tool storage, and access control. OSHA regulations apply on residential sites above certain thresholds. If a worker is injured on your property, the GC's workers' compensation insurance (and yours, if the GC is uninsured) covers the claim.

Quality Control

The GC inspects work at each phase before it's covered up. Framing must be checked before insulation. Rough plumbing must be inspected before drywall. A GC who skips these check points lets problems get buried in the walls — where they become very expensive to find and fix later.

Budget and Schedule Management

The GC tracks actual costs against the budget and actual progress against the schedule. They should proactively communicate when either is at risk — not wait until the project is over budget or behind schedule to tell you.

What a GC Is NOT Responsible For

Design decisions — the GC builds to plans, they don't create them. Hire an architect or designer for that.
Your selections — tile, fixtures, hardware, appliances are your choices. The GC installs what you select; delays in your selections cause project delays.
Financing — the GC expects to be paid per the contract; how you fund the project is your responsibility.
Pre-existing conditions — if your foundation was already cracked before the GC started, that's not their defect (though they should have disclosed it when discovered).

The GC Markup: What You're Actually Paying For

GCs typically mark up subcontractor and material costs by 10–20% and add a profit margin on top. This markup covers their overhead: office, vehicles, project management software, estimating time, insurance, bonding, and the management labor you don't see. When you hire a GC, you're buying coordination, accountability, and expertise — not just labor. Find experienced general contractors in your area to discuss your project scope.

Frequently Asked Questions

What is the difference between a general contractor and a project manager?: A general contractor is a licensed business entity legally responsible for the construction work, permit compliance, and subcontractor management. A project manager is a role — often an employee of the GC — who handles day-to-day scheduling, coordination, and communication. On small projects, the GC owner may fill both roles. On large projects, they're separate people.
Does a general contractor do any of the physical work themselves?: It varies. Some GCs are working contractors who perform some trades themselves (often framing, carpentry, or general labor) in addition to managing subs. Others are pure management GCs who hire out all physical work to licensed subcontractors. Both models are legitimate — what matters is that the subs doing licensed trade work (electrical, plumbing) hold the appropriate licenses.
Am I protected if a subcontractor the GC hired does bad work?: Yes — your contract is with the general contractor, not the subcontractors. The GC is responsible for the quality of all work performed under their license, whether done by their own crew or by subs. If a sub's electrical work fails inspection or a plumber's rough-in leaks, the GC is your point of recourse, not the sub directly.