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What's In a Bid
November 8, 2018 at 7:00 PM
by propertypros.net
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With as many different types of contractors that exist, there are equally as many different types of bids.  This can be confusing to the customer (You) when trying to diagnose the right price for the right scope of work outlined.  At PropertyPros.net we feel that being honest and fair and straightforward with our pricing is the best way to do business.

Many contractors will bid labor plus materials plus profit/overhead, which typically sits around forty percent.    They  will often lump all the numbers together without giving the customer any idea of the markup, what materials are being bid and what the scope of work is.  This type of bidding does not help the customer to make an informed decision when choosing the best contractor for the job.  Also, this type of pricing hides markup on cheap/inexpensive low-grade materials that could have been better spent on quality materials.

At PropertyPros.net, we install the $1 per foot material with the same quality and care as the $100 a foot material.  Therefore, we only price labor in our bids.  Our bids are outlined at each phase of the job to specific detail to allow the customer to see the scope of work exactly described.  We line item each phase of the job so that customers can see exactly the scope of the work and how much it will cost. Often customers will cross off items on the scope to fit into a certain budget.  This is impossible to do on bids that lump labor and materials and profit into one price.

PropertyPros.net does not mark up materials at all. When the customer is informed of the cost of labor they can decide the quality of materials that are within their budget.  This allows the customer to have an active part in the bid process rather than accepting what materials the contractor offers.  With so many types of materials and products on the market, there are endless possibilities to create a beautiful project within the customers budget.

Also,  many contractors bid high on materials to cover the cost of all the materials for the project without losing money. This often leads to the customer overpaying for materials or the contractor making a profit on materials they never purchased.  Also, it is possible that the contractor bid too low for materials and will have to absorb the cost of the extra materials which can cause friction between the contractor and customer when the contractor asks for more money.

At Propertypros.net we feel the fairest way for both parties is for the customer to pay for exactly what materials are required to do the job. Not more, not less.   That is why we give all receipts to the customer at the end of each job for them to review and reimburse us. No Markup whatever, ever.

Finally, the only time the price of a PropertyPros.net bid changes is when the scope of work changes.  Often jobs are started with the intention of one product being installed or one repair being made, and it is discovered that several other problems on the house exist to complete the scope outlined in the bid.  Propertypros.net only charges the hourly rate for the additional labor required and often will include the extra labor at no charge, to complete the job.   Some materials are more labor intensive to install than others.  This can also cause the bid to change but most times it will be a small enough change that PropertyPros.net will absorb the extra labor cost.

PropertyPros.net bidding process is designed to make the bidding process as simple and clear as possible while giving the customer the option to fit the job into their budget.