You just described most electrical contractors!
How does the saying go "if your hired out to a man......"
IMO, sidework is bad, bad, bad. In all cases, the customer is getting a bad deal and the worker is taking a big time risk. Even in the remote circumstance when "sideworker" is "insured and insured" its a bad situation.
1. The worker is under capitalized so cannot handle or afford mistakes or miscommunications. Are you going to make a liability claim over $800 dispute?
2. The worker cannot afford to mess up because they have put their butt on the line and this job could cost them their rent. The worker will do disparate and shotty work to get the job done and get the check.
3. The worker lacks knowledge and cannot get help or advice immediately because he is generally being sneaky about his project. (that's why side workers love this board...they can't ask their boss.)
4. The worker lacks access to quality parts and materials and general buys from HD or lowes.
5. The worker does not control his own schedule so cannot come back the next morning or immediately respond to a call back. If they need to work late or come into work on a weekend, they are forced to cancel on the customer.
6. The worker has no backup if he needs help. So he takes risk and cuts corners.
7. The worker does not have ALL the tools necessary to do the job correctly so he cuts corners and takes risk. Uses a ladder to small or the wrong bit or the wrong tool for the application and the customer gets a less than perfect project or installation.
8. The workers have to come during odd hours or weekends because they have a day job. They are generally tired and wornout and distracted because their is someplace they are supposed to be (like home with their family).
9. The workers do not have stock vehicles so they need to make multiple trips to the local hardware store. This make even a small job take longer.
10. The worker does not have an account or someone to do his taxes so he cheats on his taxes.
11. The worker generally does not keep records of his job because its a "one off." There is no reference or evidence in the case of a dispute or fire.
12. If the worker moves, dies, changes his cell phone number, breaks a leg, goes to jail, joins the army, etc...the customers warranty is GONE.
13. The worker generally does not have forms or invoices so leaves the customer nothing for future home buyers or in case of a dispute.
14. Permits....psh please....
15. The worker has no clout or backing in case of a failure to pay. He generally has no signed invoice, no collection system, and no real way of applying pressure to get paid. Some people actively search out these small guys to take advantage of them. Ask anyone that's been in business more than a week. These customers FIND YOU.
16. The worker often runs the risk of getting fired for side working. Even if no one finds out, his work performance is hindered by his lack of sleep and constant cellphone use. This will put him behind when it comes to raises and ahead when it comes to firing.
So, there it is. You have taken a big time risk, given the customer a bad deal, and if you are lucky will walk about with a little cash. Its Vegas without the air fair.
BTW, being "licensed and Insured" company is a joke. I could open "Ohmy's Licensed and Insured Electrical" tomorrow morning with liability, business license, and insurance for less than $200 bucks. Licensed and Insured just doesn't mean anything these days.