How Many Of You Charge For...

 
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Old 07-10-2007, 10:57 PM   #1
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How Many Of You Charge For...


estimates, even on smaller jobs and how much do you charge, if you don't mind giving out that info, thanks for your input.

Also do some people tell you forget it when they hear you charge for an estimate?

Or how many never charge for an estimate, or does it depend what it is for?

Email me if you rather not disclose this info. thanks

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Old 07-10-2007, 11:12 PM   #2
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Re: How Many Of You Charge For...


I don't charge for estimates. Most of the contractors that I know don't charge either. It doesn't make much sense to charge for an estimate when your competitors give free estimates.
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Old 07-10-2007, 11:33 PM   #3
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Re: How Many Of You Charge For...


I don't charge for them either.... directly!! It is just part of the cost of running a business. If it is a fairly extensive quote I will add a little to the quoted price to cover my time so if I do get the job then I recover a little.
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Old 07-10-2007, 11:57 PM   #4
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Re: How Many Of You Charge For...


I am the same as Meezer and Bummie, too much competition that gives estimates for free. Since I do mainly smaller projects, less that $25K, estimates don't take too long. I just consider it as part of my overhead costs.
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Old 07-11-2007, 07:33 AM   #5
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Re: How Many Of You Charge For...


Estimates: No charge.....

- tho, I wish I could charge it upfront (sometimes, I will include "Mock-up" sketches and CAD layouts (Copyrighted - and to be returned) on larger addition projects, that is time, and time = $ )

Such "extras" actually really put us in a better running to get the contract. - (I figure that time I spend into the original estimate)
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Old 07-11-2007, 08:41 AM   #6
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Re: How Many Of You Charge For...


I get asked all the time if the estimate is free. There are a few guys out there charging, although they will give the amount back as a credit towards a purchase.
I read on this forum about someone charging $5.00, which then goes to charity. Most people didn't seem to have a problem with that, but if you tell them over the phone and they baulk at 5 dollars, they probably aren't buyers anyway.
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Old 07-11-2007, 09:18 AM   #7
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Re: How Many Of You Charge For...


Are You talking about stuck windows,broken sash cords, planing stuck doors ,ect? An estimating course said to charge 3 times your normal rate
for these small chores. Don't say $150 per hr. add them up ,then give a flat rate priced out at 3 times Your hourly rate. Ask the customer to please add up all the honey do items they can save money on their project . Got Junk Here in Marin Co. Ca. charges $600 to fill a 10 ft. flatbed truck including dump fees. People will pay for these little jobs , most conts. blow off. PRICED RIGHT ,FOR YOU, THERE A WIN .
I say 'do not charge for these estimates. 45 years in the trade so far,
and still loving it! Good luck
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Old 07-11-2007, 09:38 PM   #8
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Re: How Many Of You Charge For...


Quote:
Originally Posted by firemike View Post
I am the same as Meezer and Bummie, too much competition that gives estimates for free. Since I do mainly smaller projects, less that $25K, estimates don't take too long. I just consider it as part of my overhead costs.
I think you got it right. Include the estimate process into your overhead/ operating cost. Take a guess on how many you might do in a year, and add it to your overhead costs. Driving there (gas), wear and tear on the truck, your time and experience. All those things come at a cost. If it costs you money to do an estimate, then you damn well should get paid to do one. Unless of course you're a nice guy who'll do it for nothing.
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Old 07-13-2007, 09:39 PM   #9
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Re: How Many Of You Charge For...


Short answer; I charge GC's and homeowners are free.

Long Answer; When a GC gives me a print and then asks for a materials list and to check if I see any out points on a print, I charge him. I will give him a free proposal that is contingent upon no changes to the print, but will not make a materials list.

For Homeowners, since I'm a sub they are usually looking for repair or replacement work which does not require a permit. Then I just figure Mats and add labor + a little profit then give them a quote.
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Old 07-13-2007, 10:06 PM   #10
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Re: How Many Of You Charge For...


We don't work for homeowners.

For the GC's we regularly deal with, I'll do a detailed estimate for free, because my time is going right back into the estimate, and I know I'm getting the job. For a GC we don't deal with all the time, I'll look at a job for free, but if he wants a detailed estimate with drawings, we charge 100.00 dollars an hour for drafting time, which is "refundable" on a signed contract. When we do drawings for architects to be used on construction plans, for jobs that we are not doing, I charge 300.00 dollars an hour, with a six hour minimum.
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Old 07-13-2007, 10:29 PM   #11
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Re: How Many Of You Charge For...


If it involves drawings, then they pay for the drawings and can do with them what they want. If they don't want to pay I'll ballpark it verbally with all kinds of caveats to CMA. I find this weeds out the tire kickers.
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Old 07-13-2007, 10:52 PM   #12
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Re: How Many Of You Charge For...


just remember this...free estimates hurt the people who buy from you...

correct, the people who actually purchase from you, get punished and pay a higher rate, to cover the money you spend giving free estimates to people who don't purchase from you.

How is that good for your paying customer?
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Old 07-13-2007, 10:56 PM   #13
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Re: How Many Of You Charge For...


We charge new customers a $35 consultation fee unless they came from a strong referal. Repeat customers already know that we are not cheap and also know we are worth it.

I have to admit though that I was wrong about charging hourly. We where charging $69 per man hour and doing OK. Now we are are switching over to "up front pricing" and this is a whole new ballgame
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Old 06-18-2008, 08:21 PM   #14
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Re: How Many Of You Charge For...


Small jobs get charged $50.00 for estimate, given back on final invoice. Handyman work gets a phone ballpark price and then I'll go out to see them.
All kitchens and baths get charged 4 to 6% for consultation and drawings.
All remodels (interior layouts or Master suites get charged 4 to 6%. No money back.
Free estimates are alive and well, but I know plenty of guys that charge and are glad they do.
Good qualifier to say the least.
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Old 06-18-2008, 08:31 PM   #15
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Re: How Many Of You Charge For...


http://www.contractortalk.com/f16/free-estimates-40317/

http://www.contractortalk.com/f16/how-much-free-hand-holding-39599/
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Old 06-18-2008, 08:52 PM   #17
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Re: How Many Of You Charge For...


Quote:
Originally Posted by jiggyjack View Post
Short answer; I charge GC's and homeowners are free.

Long Answer; When a GC gives me a print and then asks for a materials list and to check if I see any out points on a print, I charge him. I will give him a free proposal that is contingent upon no changes to the print, but will not make a materials list.

For Homeowners, since I'm a sub they are usually looking for repair or replacement work which does not require a permit. Then I just figure Mats and add labor + a little profit then give them a quote.
This sounds backwards to me. The gc, who gives you repeat business and you don't have to advertise for gets charged? And HO's don't? Interesting.
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Old 06-18-2008, 09:08 PM   #18
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Re: How Many Of You Charge For...


If they're sounding like tire kickers, telling them you charge for the estimate is a good way to tell them to **** off.
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Old 06-18-2008, 10:12 PM   #19
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Re: How Many Of You Charge For...


like stated, it depends.
something small like a bathroom, we will quote no charge.
anything bigger we require a print of some sort.
i have drawn small additions and such for customers. i start at $1k for permit drawings.
if they have arch drawings (we encouage) then they have to supply us with copies, and of course quotes are free.
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Old 06-19-2008, 10:55 AM   #20
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Re: How Many Of You Charge For...


I'm gald this thread was revived. We are seriously considering starting to charge for estimates. The cost of gas is getting rediculous. Our gasoline up here in Canada is now working out to about $5.00/U.S. Gallon for regular. For 94 Octane (which my Cobra needs because it's supercharged), it is $560/gallon. Today I filled up and I spent $68.oo. My ford F-150 can routinely take $150 to fill up: on regular.

I've upped all my prices, I've even started giving the crews a gas allowance per job. So far I've had little resistance to pricing and sales are just fine. But, the gasoline cost is scary.

I recently hooked up with Lowes(they've only been in Canada for 4 months), and they pay us for each lead we go to see. It's wonderful.
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