Division 18) Variable 250111: Net turnover from subcontracting

For the statistics on activities of NACE Section F Net turnover from subcontracting is the net turnover generated by the unit’s own construction works provided to a third party under a subcontracting relationship.

Two enterprises are linked by a subcontracting relationship, whenever conditions A, B, C and D are simultaneously satisfied:

1. A..

   The customer enterprise contracts with the supplier enterprise, hereafter referred to as ‘sub-contractor’, for the execution of works or services which are incorporated specifically in the construction process;

2. B..

   The customer enterprise is responsible for the final product of the construction process, the responsibility covers also the parts carried out by the subcontractors; the subcontractor can in some cases carry some responsibility.

3. C..

   The customer enterprise provides specifications to the subcontractor, for example, the work or service executed by the subcontractor must be tailor-made for the purposes of the specific project and cannot thus be a standardised or catalogue work or services.

4. D..

   The reciprocal contract is not otherwise ruled by an agreement of an associative type, such as a common answer for a call for tender, a consortium or joint venture, etc.