Charging For Estimates

 
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Old 03-10-2010, 11:25 AM   #21
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Re: Charging For Estimates


In my line of work estimates are free as are bids. *ONLY* if there is a detailed RFP or design and spec sheet. If the client wants me to come in and "bid" as in provide them with a set of plans and specs then its not a "bid" its a "design" and they get a contract for design work as well as an actual design. Same deal for PM work. If its "How much to come in and run this job for me here's the plan" its a free estimate. If its "Come in, tell me what I have to do, create the plan and all the trimmings, etc" then its a contract and fee.


Last edited by tbronson; 03-10-2010 at 11:28 AM.
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Old 03-14-2010, 12:57 PM   #22
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Re: Charging For Estimates


Quote:
Originally Posted by Greg Di View Post
Sounds like you paid attention in class, grasshopper.
Between three forums and guys like you and RBS (and a few other sharp tools) I've picked up a lot of useful tidbits
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Old 03-14-2010, 12:59 PM   #23
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Re: Charging For Estimates


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Originally Posted by shesaremonclus View Post
would you pay your subs to bid on a job
No, but my subs don't have to compete with anyone. If I get the job they get the job.


explained: I'm not making money off of "charging for estimates." It's used mainly to weed out price shoppers and tire kickers and to assign a value to the paper in their hands. Like I said, if I get the work my subs get the work. I don't price shop subs.

Last edited by Winchester; 03-14-2010 at 01:05 PM.
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Old 03-14-2010, 02:20 PM   #24
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Re: Charging For Estimates


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Originally Posted by shesaremonclus View Post
does the realtor charge for each time he show a property, its his time and gas. Would you pay the repair shop $45.00 to tell you they will charge you $800.00 to do a repair that may cost you $600.00 elsewhere.
I would if the repair shop came to my house. If your car is broken down and you can't bring it to the repair shop, how much do you think it will cost you to have someone come out and tinker through the car to tell you how much it will cost to fix? You think that will be free?

Quote:
Does the insurance agent charge you to prepare quotes on your insurance needs.
You're really comparing selling insurance to this? How much work does the insurance agent do to prepare a quote?

Before I got married my wife went for hair consultations (big money), makeup consultations (big money). They charge you to tell you how they would do your hair or makeup.

Quote:
Then why would you not pay a sub to prepare a bid for you, you just charged the HO for your estimate and you even might not be getting you hands dirty.
I answered this one already.
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Old 03-14-2010, 04:35 PM   #25
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Re: Charging For Estimates


didnt read all the posts im super lazy to day and it looked like allot of writing so if its been said u must excuse me.
in regards to residential work, i would say it depends on ur niche. if u get all your work by being the lowest priced id say no but if u are a quality firm that tends to cater to a high line customer id say yes. If there not going to pay for an estimate, they certainly wont be paying the higher price u ask for because of your quality. good way to find the customers you want to work w. no sure if this is currently the case w everyone watching there money
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Old 03-14-2010, 04:39 PM   #26
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Re: Charging For Estimates


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Old 03-14-2010, 04:47 PM   #27
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Re: Charging For Estimates


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Originally Posted by JKBARR127 View Post
didnt read all the posts im super lazy to day and it looked like allot of writing so if its been said u must excuse me.
in regards to residential work, i would say it depends on ur niche. if u get all your work by being the lowest priced id say no but if u are a quality firm that tends to cater to a high line customer id say yes. If there not going to pay for an estimate, they certainly wont be paying the higher price u ask for because of your quality. good way to find the customers you want to work w. no sure if this is currently the case w everyone watching there money
spot on.
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Old 03-14-2010, 05:00 PM   #28
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Re: Charging For Estimates


quit it
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Old 03-15-2010, 12:51 AM   #29
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Re: Charging For Estimates


for me its a no brained,.. gotta give the customer something for free
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Old 03-15-2010, 09:12 AM   #30
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Re: Charging For Estimates


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Originally Posted by griz View Post
... I have never even heard of paid bids on commercial or public works projects.
I had not either but learned for large public road projects, the bidders do get reimbursed. RFQs get issued and then the top few are selected and requested to bid. They may get reimbursed if the project is large enough. On one hundred million dollar project the bidders got reimbursed $300 - $500K. I was told that still didn't cover all of their bidding costs, but it is close enough to encourage future bidding from the large firms.

I know the above to be true only for KY, OH and WV. It may apply to other states.
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