As a Construction Company It’s Hard to Make a Profit

We Work Too Hard in the Construction Industry to be Giving Away Money

Just like there’s a proper way to do construction projects…the same is true for proposals.

You don’t shingle the roof before you pour the foundation or start hanging sheetrock on a wall that hasn’t been framed.

There’s a proper way to construct a building. Doing proposals is the same. Having a system for doing proposals makes this possible.

Pricing of any construction project uses the same information to arrive at a dollar amount…material and time needed to do the work. Where problems arise is in overlooking or forgetting something, guessing at how long it will take, or unclear communication.

The key to unlocking the profit vault is having a system that prevents overlooking, guessing and poor communication.

Proposals should be done, so that you –

  • Avoid miscommunication
  • Have happy satisfied customers
  • Have budgets for customers
  • Provide scope of work to production crews
  • Have budgets for production crews
  • Take responsibly as the professional
  • Have a more profitable business

This is accomplished through five simple steps. These five steps are –

1st – Gathering information – Gathering the right information correctly and effectively is critical to preparing an accurate and thorough proposal. The initial gathering should include:

  • Measurements and dimensions, existing and new
  • Building materials, existing and new
  • Pictures of pertinent areas and existing construction
  • Customer’s design ideas and finishes.

The important thing in this step is to gather any and all information needed to prepare an accurate proposal. Using the system’s Bid Sheet minimizes the chance of overlooking things because the different areas of a construction project are already listed out.

2nd – Preparing a scope of work – This is the process of taking the information that was gathered and describing each specific task in terminology that both the customer and the contractor understand. It needs to include enough specifics to be thorough without being too technical. This written description will be transferred to the Proposal and serve as a written description of work to be performed and materials to be provided.

3rd – Pricing the project – This process is the copying and pasting of pertinent information from the Data Base to the appropriate cells of a blank Worksheet.

4th – Quantities – Fill in the quantities of the work on each line item included in the project. This may be lineal feet, square feet, square yards, cubic feet, cubic yards, numbers of pieces, etc. Now you have prices for each of the different tasks to be performed.

5th – Preparing the proposal – Now you have everything needed to complete the Proposal. Take the descriptions from the Bid Sheet and the prices from the Worksheet and put them together on the Proposal. After filling out some job specific details the proposal is ready for the customer.

Proposals done well, above everything else, is the one thing that will contribute to you having a profitable business!

The Blueprint for Building a Better Proposal system provides clear and accurate proposals…every time.

You can get the Blueprint for Building a Better Proposal and have proposal system that will do all this and more. This system is currently at a reduced Holiday price of $497 plus it currently includes some bonus templates.

If you would like to learn more about how proposal mistakes cost construction companies a fortune, check out this free download.  

Leave a Comment

Subscribe Today

to receive Mark's weekly solutions!

We respect your email privacy