Bidding a project can be a nerve-wracking experience. If your price is too low, you may lose the project because the price reflects the level of quality of the work or you may not make enough money on the project. If your price is too high, you may not get the project at all. You want to be competitive, but you also need to make money and that’s why there’s a fine line to walk. One of the biggest mistakes contractors make during the bidding process is to assume they know what the cost will be for subcontractors.
Without actual pricing, there’s no way to know what a crane rental company, an electrician, a plumber or someone else will charge for their services. You need to consult with them and you need to give them time to get their information together. You know what you will charge for your aspects of the project including labor and material. Consulting with your subcontractors to learn what they will charge is the best way to come up with an accurate bid that gives you a great chance of not only getting the project, but also making good money from it.
If you do not have a preferred contractor, then it’s a perfect time to shop around. Send the plans to two or three of the top teams you find and ask them all to submit a bid by a certain time. Based on cost, services, ways they can assist you, how much time they need and more, you will be able to determine which sub is the best one to work with.
Each company you speak with should be willing to offer a free consultation as they understand that you are bidding for the project yourself or trying to find the right team to work with. However, you want to base your decision on experience, amount of quality services they offer and more, not just price. This is the best way to ensure that you get a quality team that you can rely on for years.
