It’s every contractor’s dream. That architect you know recommended you to their client. The notification for the tender just came in. You read over it and realise the job is a step above what you’re used to.
You’ve been working hard for a chance like this. You want to get bigger and prove yourself to the world. But doubt starts to sink in.
What if the job’s too big? What if it’s too costly and you can’t handle it?
You have the opportunity you always wanted, but you can’t get those doubts out of your head.
Don’t worry, we know what it’s like and our team of Senior Estimators and Quantity Surveyors put together 5 recommendations to keep in mind when you’re ready to step up and price those bigger jobs.
1. Check Out the Client and Design Team
Before diving in, research your potential client and their design team. Do they have a good reputation? Are they easy to work with? Do your research to find out if you actually want to work for them in the first place.
2. Look at the Project Scope
Understand the project scope fully. Is it a refurbishment or a brand new build? Consider if it’s something you’re actually capable of completing. Or if it’s a job where you’ll need to bring in more specialised support, is it worth the extra cost?
3. Don’t Price for the Sake of Pricing
Sometimes, the best decision is to pass on a job. There’s no point in wasting time pricing for the sake of it. If the project doesn’t fit, it’s okay to say no. Focus on opportunities that match to your skills and capacity.
4. Figure Out Your Labour Costs
Break down your labour costs. Know how much you’re spending weekly and annually on salaries, hire costs, soft costs, hard costs and all other business expenses. Remember, someone has to pay for all of this and it’s usually your client.
5. Factor in Preliminaries
Always include the costs of preliminaries in your pricing. This is an important part of any project and should never be overlooked. Properly taking preliminaries into account means you don’t end up out of pocket.
Conclusion
You’re not doing yourself any favours by staying in the comfort zone of your usual projects. You work hard to build your business, take on bigger projects and make more money. So why would you get nervous when the big jobs start coming in?
It happens the best of us but if you do your research, know your skillset and understand your costs inside out there’s no reason you shouldn’t be up there competing with the big companies.
If you need help handling these bigger jobs, contact us today at Carroll Estimating to find out how we can help you grow your business and make more money with a seamless process from tender bid to final account.