Louisiana Contractors License Practice Exam

What does Turnkey Contracting involve besides construction services?

1. Evaluation of subcontractor performance

2. Project scheduling

3. Obtaining financing and land

4. Initial design assessments

The correct answer is: Obtaining financing and land

Turnkey Contracting goes beyond just providing construction services; it encompasses the complete responsibility for a project from conception to completion. This includes tasks such as obtaining financing and securing land necessary for the project. By taking on these additional responsibilities, the contractor ensures a smooth progression of the project, allowing the client to have a ready-to-use product upon completion, which is the essence of a turnkey operation. In this context, the contractor manages not just the building aspect, but all preliminary and logistical elements required to initiate the project, thereby simplifying the process for the client. In contrast, while evaluation of subcontractor performance, project scheduling, and initial design assessments are important components of the construction process, they do not fully align with the broader scope of turnkey contracting that includes financial and land acquisition responsibilities.