Line Items

fiore22

Is it better to do line items on your proposal or not? I have had clients hire me just because I have had them and the other contractor didn't. However, I am hearing more and more this is a bad idea. Please advise.

send_it_all

I used to do it, too. It is pleasing to the customer, partly because they can see what each part of the job is costing them, and partly because it allows them to pick apart your prices. They can see your mark-up on materials (tell me you mark up your materials), they can see your mark up on labor. It invites them to pick apart each line and at least bitch about the price, if not shop for a better one on that line item. I just started writing up proposals with a lump sum price. If they're lucky Ill seperate materials and labor.

Rich Turley

I'll separate for each phase, such as foundation -- framing -- rough plumb -- tiling etc. Don't go into any more detail than that for the reasons Senditall gave.

For instance Tile floor -- $***.xx Then I'll spec it out as far as underlayment, CBU, thinset used etc but won't give a cost for the CBU individually.

Rich

firemike

I don't seperate prices for exactly the reasons send it all described:

"I think we'll do this one, and this one, and this one, but we can get this one cheaper at Lowes, and this one cheaper at Acme, and I don't think we'll do this one and this one because...."

I give them a written proposal/contract that spells out everything I am going to do, everything I am going to supply, and what they are responsible for, and any materials they will be supplying if necessary. Then a single price at the bottom.

Occasionally I will offer choices, such as upgrades to something, or alternative methods, shoices, etc. but each always states what it will do (add to or subtract from) the bottom price.

__________________
-Mike-

fiore22

I will be changing my protocol for submitting proposals.