I saw an ad from an EC that stated they won't pay an estimator for estimating until the EC is awarded the jobs that the estimator bid. Is this a typical way to pay an estimator?
I would say no....think about it....
Doing it that way, the estimator would have to be gauranteed the the EC knew absolutley all cost related to his business.....in order to be able to apply any true rates for estimating. As we know, not all EC's really know their true operating costs...they think they do and wing it. Then he would have to be sure that all labor is efficient and productive at all times....not going to happen.
And in these times....prices are all over the board for jobs....not averaging within 5%-10% of eachother. Some bids are 50% less than others...how can you compete with that effectivly?
I sure wouldn't agree to those arrangements. You would have to always be the low bidder to kinda assure you would recieve a paycheck.
You got that right. I saw a sports bar with bids from 130k to 230k from 4 ec's
That's just wrong....why are these folks even allowed to operate? Sad...just sad...
I saw a sports bar with bids from 130k to 230k from 4 ec's
That's just wrong....why are these folks even allowed to operate? Sad...just sad...
Yes it's wrong but is one contractor charging $50K to little or is the other charging $50K to much and just who is to make this determination?
In a free market you can charge as little or as much as you want, it's up to the buyer to decide on value.
I once bought the same pair of shoes for $25 as a fellow worker paid $75 for and he was really mad when he found out they were selling much cheaper at another store. Should both stores be forced to sell this shoe for $50 so this won't happen?
IT is ALWAYS the one charging too little Growler...
Seriously though...my issue is just the huge spread in prices...as that is what gives EC's bad names like thieves, rip offs, etc.....when in actually, the higher EC may just simply have a higher OH, pay his men better w/benes, etc...the end customer doesn't always think that is a better company in general, they just think that the EC is wanting too much of my $$$ for this job.
In this situation the bids were 238k, 218k (2 gc not that far off)
187k the owner of the building who had to pay some of the upfit amount.
And 138k the crew that didnt install what was bid on and thus saved alot of money. And that is almost working for free.
Perhaps his crew did work for free?
Was told they had a bunch of material left over from other jobs:mad, then they didnt use the spec'd light fixtures, a/c units etc.
You provide the AC units?
No these were the bids to the gc. I noticed they installed a carrier a/c unit, trane was spec'd. Halo cans where some high buck brand was spec'd. No telling what else.
Well I will let you in on a little secret. I do a voluntary VE on almost every job I bid. It includes dumping the specified lighting fixtures. It can save a ton of money.
I do also. We were told to bid the plans with what the customer picked out. I got prices for both and would of knocked 6k off with similar fixtures. I honestly do not think he could of made any profit but he had to right? I just dont see how.