ForConstructionPros.com

Editor's note: The following is condensed from a seminar presented at the American Society of Concrete Contractors' Fall Conference.

Almost every contractor has had to deal with the "low ball terrorist," says Clay Fischer, president of Woodland Construction Co., Jupiter, Fla. Whether it's another concrete contractor, a general contractor or a client, they're "the guys who make it tough for you to make money."

There are six basic types of low ball terrorists or LBTs:

1. The Cheater
This is the company that pays employees "under the table," subs its work to labor subcontractors and doesn't pay payroll taxes, workers' compensation or liability insurance.

By cutting corners, these companies are able to charge less and still make money, but put their employees and the people who hire them in legal danger.

"In our market, workers' comp can be 20 percent of payroll," Fischer says. "It's tough to be a responsible person, play by the rules and still make money in a situation like that."