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Old 10-02-2006, 08:19 PM
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crawdad crawdad is offline
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Join Date: Jun 2002
Location: Crawdad Holler, TN
Posts: 1,942
Quote:
Originally Posted by sheshovel
Ok Ok OK NOW we are getting into the diff between giving a
Price
Estimate
or a Bid.
You boy's seem a bit confused on this matter so let's get it cleared right up.
Splicer of course does not have to read the yapping and flapping of my jaw..god forbid the guy might want to actually LEARN something here.
OK in some of your views you think this
Giving a PRICE = I have to stick to it no matter what because if I don't then I am ripping off my customer because I told them a price and it was too low so now I will gladly work for FREE for a year, rather than admit to my customer I made a mistake and try to rectify the problem. I will work for no profit for a whole year because my word is my bond and I can't look like I made a mistake by upping my price after the first cut cuz then I might loose the job I am doing for free for the next year.

ESTIMATE = I have no idea what this job will be so I am gonna throw out the first figure that comes into my head and see if they go for it. If I am too low I will eat it but if I am too high I will keep it. my word IS my bond and that's that.

BID = Same thing as a price and the same rules will
apply. Not an estimate though because it is a solid as a price it and can't be changed no matter if I am going broke and paying for the customers work to be done by me rather than the customer actually paying me for the work. Matters not I bid the job wrong and I will slit my wrists rather than adjust my bid. Might make me look like I don't know what I am doin or something.

Real life view of these terms
Giving a
PRICE = Verbal agreement-Telling a customer what you will do the job for and you really think that IS what you will do the job for. BUT once you do the job, if any conditions exist that will increase your labor and or increase your costs, you inform the customer of what those conditions are and what your price is going to have to be adjusted to and you take your chances of them saying nevermind. If you do anything other than that you are not in a business state of being and if you are you will not be for long.

ESTIMATE = Always done on paper-A breakdown of materials and labor costs to do a job for a potential customer. The job can go over or under this estimate depending on unforeseen conditions that you may run into during the job.
It is open to add-ons or changes by the customer during the work but when that happens then you immediately inform the customer that that is not within the original est and you write them up a new estimate including the add-ons or changes. Or you write them up a separate estimate for each job outside the original estimate.They sign it


BID = Always done on paper- Competing with other companies for one large job. They have announced they are accepting bids for a certain amount of time. You find out the description and scope of the job and you write up a bid that will be scrutinized by this company alongside
other companies that do the same kind of work you do.
Only one bid is accepted and if it is yours then you have to stick to that bid for however long the bid and final contract state.
Great post. You're pretty smart, for a girl.
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