Do you put a cap on the maximum spend for contractors paid by the hour?

Sometimes a business will need to hire a contractor to do repairs or maintenance work on site. These contractors often get paid by the hour. Hourly work can creep up to a large unexpected bill!

To avoid this pain, if you don't have an official quote because they don't know how much work is required, you should make it clear in writing that you have a cap on the maximum you would like to spent without an additional approval for more work.

By agreeing on this maximum spend, you can avoid a surprise bill that hurts the bank.