New Construction
With new construction, there will usually be a general contractor that will be holding a prime contract with the owner or buyer of the property. The prime contract will allow subcontracting rights to perform services in an effort to complete the entire project. It is common for a general contractor to hire subcontractors for foundation work, plumbing, roofing, electrical, painting, landscaping, re-paving a driveway, or any other service needed.
Remodeling
If an individual or company decides to remodel their home, the contractor may decide to hire a subcontractor if they cannot complete a specified task. For example, if a bathroom is being remodeled, the contractor may hire a plumber or painter only in order to help complete the entire remodel.