Bidding On Bigger Company Than Usual, Need A Little Help

Originally Posted by Jason W

Originally Posted by mmike032

i met with the super of a company today that is building some condos in auburn, AL to bid on doing the trim. he gave me a set of the plans to look at over the weekend, and give my bid to him sunday.
AM: When bidding a project most contractors do just that, they bid price against other what seem to be competition. Generally consumers whether they be GC's, supers, or homeowners, they want just several things - a fair price (notice I did not say lowest) for quality work that will be completely in a timely fashion up to communicated expectations. This is all - very plain and simple; too many contractors go in thinking price will sell the job. If there is absolutely anyway possible, suggest that you really need to sit down with the super and decision makers to go over questions you have rgarding the prints, job layout, time frames, access to the job and schedules, as well as stops in the job which were not foreseen, etc. Any professional contractor will need these questions and more answered to adequately estimate a large project as this. It is the contractors that do not take the extra time to get these questions answered that end up getting burned and lose money on jobs. Are you in business to practice building or for profit? Remember, you are the professional and the more you set yourself up this way, then supers, GCs etc will expect a higher price for your quality, professionalism, foresight and thoroughness.

i have a few questions: all my work previous to this , i have just gave GCs a bid by just telling them how much i charge and figuring it up( word of mouth i'd guess you say) this being a bigger company they want it in writing which is fine with me.I have done estimates for customers before and gave them a print out from quickbooks which says estimate on the face. what do you all recommend me doing , print out an estimate from quickbooks or print a letter with my bid and what it includes.they just want a price per unit as opposed to the whole project.does anybody have a format they would care to share with me. i would like to impress the company

AM: What would impress you if you were the super? a one page printout from quickbooks with numbers, or a thorough explanation of what you would be receiving for the price you would be paying? Remember that if this super is the decision maker for these units on who to use, they report to someone that expects them to use quality in their work and not just slap any guy with a hammer on the job and screw it up. Although they have budgets to work with, they want just as much quality and the homeowner that is living in the house.

the condos are 2 hrs from where i live, but the company is based here.the super also lives here.for me to make this worth my while i will have to include gas,and traveling time, or hotel in my bid. the super says he drives back and forth everyday which cost him about 50 $ a day in gas. i would have to include this in my bid. he says hotels there run from 60-85 a night.now i know i cant compete with the locals on bidding these including gas or a hotel, so i know i probally wont get the job.

AM: You unfortunately have already lost the job thinking like this. Why estimate a job to lose? What happens if you estimate it with all expenses, overhead, hidden costs, delay assumptions with an increase for margin of error and then you get the job? As I asked earlier, are you in this business to practice estimating or to win jobs and make profit?

however they have a lot coming up here in the next 2 yrs so i want to get my foot in the door with this company.So would you bid as if the work was in town and then if they call you just tell them you are to busy right now but contact you with the next project.

AM: What would make them call again for the next project if you submit a proposal and win the work on this one and then say you are too busy? This just doesn't make sense. I would guess they would consider you wasting their time to even look at further proposals from you if you are not serious about doing the work.

or do you include all expenses in with bid and just seem like a ridculous high bid.

AM: What would make you not include all your expenses? If you set up to lose just to get work then you will most likely begin to cut corners to cut your losses. These may go unnoticed for a short while but it will eventually catch up and ruin your reputation. Also what may seem like a as you call it "a ridiculously high bid" may be just in the range and budget they were looking for in a professional contractor. Far too many jobs are lost before they are even estimated by assuming you can read the mind of your customer.

or should i itemize my bid to show the expenses seperate from the labor.

AM: When you purchase a car, do you ask them to itemize the tires, seats, windows, sterring wheel etc? Would you purchase one car over the other simply because one company could get cheaper labor to put the car together? I would guess that many times a consumer is really only concerned with the finished product. By itemizing the job out like you asked only gives more for discussion on price. You should be selling your value as a reputable and professional contractor rather than price. Anyone can go to the local lumber yard and put an order in, but it your expertise, skill and knowledge that will turn it into a quality finished project. Consumers buy a contractor based on trust and confidence, not products.


i would love to get this job even if it meant making a little less than what i am used to .especially the way things are going right. even if i do bid to high i will be on there bidders list right.1 other problem i will be bidding on a hotel here in town and both projects seem like they will be ready about the same time so even if i get the out of town job does it make me look like an ass if i tell them i dont want it now

Originally Posted by mmike032

not to much worried about them having the money,owner is a multimillionaire big wig here who owns a crapload of property. the moneys there, there not looking for a naive 1st timer, i just got the guys # from another contractor to see if he had some work. this was about 4 months ago. he told me to keep checking with him because he had some out of town stuff coming up.and here it is. afteralll what am i going to do ask them for there bank statements and accountants #s to see if they plan on paying me.. come on but that seems a little arrogant to turn in the bid and then ask if they plan on paying me, i already know theier history because i have worked for them before but i was an employee then, also had a friend who got out of the business who worked for them also. yes they pay but like everyone else around here they pay as little as possible