[spitfire3416]

If you give out a quote for a service but you end up going a little over, do you stick to that price or explain to the customer that the job took a little longer than expected? I've always stuck to my price no matter what but was wondering if any other guys do this. It is called a quote after all.

 

[hal]

Was it your fault (bid too low, took too much time) or was the job more than you thought? Talking to the client AS YOU GO would help in this matter. There are lot's of things that make a project take longer, weather, equipment, breakdowns....you bid what you bid.....

 

[H&H]

I rarely do.
Recently I had a job where yard waste got out of hand and we wound up taking 2 trips to environmental recycling. I explained to her about the second trip, asked just enough money to cover the extra gas and the dump fee….and told her the time would be on the house. She was fine with it.
I almost never ask for more if I give a hard quote.

 

[hackitdown]

Nothing makes me more pissed off than a contractor not keeping his word. Stick to your price and learn from the experience.

 

[notoriousSTV]

Do you give the customer money back if the job went quicker than expected?

 

[RSG]

The key is to learn from those mistakes. If you’re consistently underbidding you need to step back and rethink a lot of things.

 

[SlowMowTurf]

I stick to quoted price BUT:

• some services are quoted hourly so I don't get screwed
• I have run into 1 job where I knew more should be done & I asked owner before proceeding- they agreed

 

[grass man 11]

Nothing makes me more pissed off than a contractor not keeping his word. Stick to your price and learn from the experience.

100%.

 

[Mowing monkey.]

Sometimes you need to leave it open ended for unexpected circumstances but not sticking to a quote is generally shady business practice.

 

[J. Baker]

Quotes and estimates are not bids. Terms matter. Make sure your customer understands which you gave them BEFORE starting the job.

I’ve been over or heavily involved it a lot of building/construction projects. I’ve never had one completed for the quoted price. I’ve also never seen a contractor guarantee a completed price.

 

[hackitdown]

Quote, bid, estimate, amount, charge, proposal, bill, fee, price, or cost. In practical terms a customer will think that they are all the same thing. What would you expect if you were the customer? Only you, the business owner, can do the right thing to protect your brand and reputation. What is the right thing?

 

[hackitdown]

Do you give the customer money back if the job went quicker than expected?

Nope. A deal is a deal. When two people agree on a business deal, the terms should be honored. To change the terms is uncool

 

[mitchgo]

Quote, bid, estimate, amount, charge, proposal, bill, fee, price, or cost. In practical terms a customer will think that they are all the same thing. What would you expect if you were the customer? Only you, the business owner, can do the right thing to protect your brand and reputation. What is the right thing?

The 'Right' Thing is clearly subjective, and to your own business. I find it comical that you are a operating a business, yet dictating how others need to be operating in a free market.. . ' Practical Terms' Is being objective, communitive and contractual- some basic words to be a good example of the term 'practical' in this context . When you describe - Bid and Estimate as if they are the same thing, is ridiculous. A word salad you are creating that doesn't even make sense as they have different definations.
Your contract gets to dictate this with the client. You do realize - most the the bidding world has deeply worded contracts to protect themselves and the clients. It's silly , to say ' My Word is My Word, No matter what happens, that's my price!'

Any company - has the right to protect themselves and provide protection to the job.

 

[J. Baker]

^^^This is dead on.

 

[hackitdown]

The 'Right' Thing is clearly subjective, and to your own business. I find it comical that you are a operating a business, yet dictating how others need to be operating in a free market.. . In ' Practical Terms' Is being objective, communitive and contractual, would be a good example of the term 'practical' . When you describe - Bid and Estimate as if they are the same thing, is ridiculous. Your contract gets to dictate this with the client. You do realize - most the the bidding world has deeply worded contracts to protect themselves and the clients. It's silly , to say ' My Word is My Word, No matter what happens, that's my price!'

As I said...only you decide what to do with your brand and reputation. I stand by my opinion that a customer will interpret all those words as being the same thing. It is up to you (and only you) to do what is right

 

[J. Baker]

As I said...only you decide what to do with your brand and reputation. I stand by my opinion that a customer will interpret all those words as being the same thing. It is up to you (and only you) to do what is right

No, it’s up to you, the businesses owner to be sure the customer understands the terms of the deal. If you like to price high and make bank when things go your way, and lose money when they don’t, that’s fine. But to indicate or imply that everyone who goes over an estimate is a hack or somehow going back on a deal, is just false. Leaving out real hacks who bid low to get the work knowing that it will cost more, it isn’t uncommon at all for the scope of a project to change. Matter of fact it is common. Material prices can change before you start or complete the project. What about unexpected problems, such as mismarked utilities, or irrigation? Do you just eat that cost?

I lost a job this spring because I refused to lower my estimate on a deck project. Customer wanted a deck section replaced. I had already replaced a section next to it. The second section had a pergola. During the replacement of the first section I discovered this second section had a lot of rot. He just wanted the floor replaced, but I already knew the posts and joists were rotten. (I replaced everything when I did the first section.) Only price I would give was complete replacement. Oh, the pergola also had lights and power outlets on it, so my estimate included replacing all electrical as well. He just couldn’t understand why it was double the cost of the other section, despite me explaining it at least 5 times. Now I could have given him a price for what he thought he needed (just the floor) but then what would I have done when I got the floor up and half the joists were rotted, and 5 of 9 posts were rotted? Eat the cost because I went over my estimate? I don’t think so. I’m happy he got someone else to do it. On the topic of reputation, I’m not risking mine by doing lower quality work just to honor an estimate. I’d rather settle up for what I had already completed and not finish the job.

 

[J. Baker]

I want to ad, on the flip side I ate a bunch of money on a retaining wall rebuild last summer. I wanted the job because it was on a main road through the town with tons of exposure. It was more involved than I had anticipated, but the only way I could get it was to stay within my estimated price. During the project plans changed slightly and I told the customer the cost would go up accordingly. He agreed. I finished it, he paid my bill and everyone was happy, even me with the loss. While I didn’t expect to lose money, and in reality I didn’t, I just didn’t make much profit, I don’t regret taking that job. Because it was on a main road, I got more jobs out of it by exposure. Also, the customer wants me to do more work for him this year. Only this time, I will price it higher.

 

[hackitdown]

The deck repair proposal you describe above included the work you determined was required, and then the price you offered. The customer did not agree to your offer, so there was no deal. That's that. You did the right thing by passing on the work. I'm no carpenter, but I would do the same thing on a landscaping project.

I believe it is very different when I look at a job, then agree to a price with a customer, then later ask for more money because I failed to see what was required to do it right. You did not do that in your example. I would have done the same thing on that deck deal.

When a job changes scope because a customer makes the change, like in the case of your stone wall, then they should be given a new price proposal that reflects the cost of the change. Good business all around. Pricing it higher next time makes sense. You learned what it is worth to you to do the work, and you stood by your price. Your reputation was built by honoring your proposal.

Part of doing a proposal is understanding up to date material costs. They don't change often enough that I have ever been caught off guard. A quick phone call to the supplier will solve any questions. Guessing isn't worth the risk to me.

BTW, I made no implications regarding anyone being a hack. Not sure where that came from.

 

[hal]

Many, and I mean many years ago we did a planting job for an apartment complex, in front of the main office. Simple job and we gave them a good price. Started planting shrubs, 4 inches down we ran into cement....apparently a long time ago that was a parking lot they threw a few inches of dirt and grassed it, it never did well and looked crappy all the time so thus the new landscape proposal. We went in and discussed the new terms of our agreement because renting a jack hammer was not part of the original deal.....

 

[gardiner]

The 'Right' Thing is clearly subjective, and to your own business. I find it comical that you are a operating a business, yet dictating how others need to be operating in a free market.. . ' Practical Terms' Is being objective, communitive and contractual- some basic words to be a good example of the term 'practical' in this context . When you describe - Bid and Estimate as if they are the same thing, is ridiculous. A word salad you are creating that doesn't even make sense as they have different definations.
Your contract gets to dictate this with the client. You do realize - most the the bidding world has deeply worded contracts to protect themselves and the clients. It's silly , to say ' My Word is My Word, No matter what happens, that's my price!'

Any company - has the right to protect themselves and provide protection to the job.

I ,agree with all, but the free market part,
Ask the oil industry, how, the free market working,