Remove Agreement Remove Drawings Remove Overhead Remove Profitability
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10 Contract Terms for Higher Profitability

PSMJ Resources

Most clients are demanding more work for lower fees, and firms that do not reexamine the terms of their contracts usually find themselves without enough income to break even, let alone make a profit. With government clients, this term can reduce overhead, making your contract price more attractive. Shorten the billing/payment cycle.

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JOC Tutorial #71 – Terms

Job Order Contracting

j) “Project labor agreement” – an agreement that meets the requirements of applicable regulations. (k) The proposal may also contain approved drawings, work schedule, permits, or other documentation as the organization may require for a specific job order. The prices shall not include overhead and profit.

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Army Job Order Contracts FAIL to meet AFARS requirements MOST OF THE TIME

Job Order Contracting

JOC unit prices include direct material, labor and equipment costs, but not indirect costs or profits which are addressed in the coefficient(s). general and administrative and other overhead costs, insurance costs, bonding and alternative payment protection costs, protective clothing, 5117.9002 Applicability. (a)

Contract 227
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Job Order Contract Execution Guide – Sample Template

Job Order Contracting

coefficient (reference table of allowable overhead). The JO is issued and approved upon agreement between the ORGANIZATION NAME Representative and the Contractor on the scope of work, performance time, and the price for that work. The UPB costs should NOT include contractor overhead and profit. authorization. Small Tools.

Contract 100
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Setting up a Job Order Contract Using Best Management Practices

Job Order Contracting

general and administrative and other overhead costs, insurance costs, bonding and alternative payment protection costs, protective clothing, equipment rental, sales tax and compliance with tax laws, and also contractor’s profit). After agreement, a fixed-price bilateral order is prepared. JOC Characteristics. (a)

Contract 100
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8 Main Types of Construction Contracts

Autodesk Construction Cloud

The construction industry uses different kinds of agreements depending on the project’s scope, delivery, schedule, budget, and the parties involved. Knowing which contract to use when is critical to ensuring a successful outcome in delivery, customer satisfaction, and profit. Plus, you know you’ll incur a profit. Key Takeaways.

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Common Types of Construction Contracts And Their Use

cnstrctr

Competitive Value – if the drawings are complete, having competitively tendered the project can create value as people try to beat each other for the project. Contractors and owners are used to working under this type of agreement. It allows you to start construction before the drawings are complete.