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Commercial Construction Best-Practices: How to Avoid Scandals

HardHatChat

Be sure to check references of general contractors before entering into a negotiated or competitive bid situation. A properly-sized commercial general contractor is going to maintain a certain amount of overhead. Commercial construction companies need fees to cover their overhead. That’s a given.

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8 essential steps for effective project cost estimation and budgeting

Fieldwire

To say that winning bids is the key to success in construction is a half-truth. Subcontractors getting awarded a contract spells financial disaster if the bid is too high to be competitive or too low to be profitable. Bidding on projects you have yet to gain experience in can broaden your horizons. On average, remodelers net 4.7%

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The contractor proposal bid form

Construction Cost Estimating

The contractor proposal bid form is used by a contractor to provide a construction proposal. It refers as the initial point-of-contact connecting the owner and contractor. In this form a neat, prearranged bid is written on a proficiently designed bid form.

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16 Things Every Contractor Should Know When Bidding a Job Order Contract

Job Order Contracting

16 Things Every Contractor Should Know When Bidding a Job Order Contract is just an introduction to anyone interested in JOC. The Owner simply references their existing Technical Specifications. 16 Things Every Contractor Should Know When Bidding a Job Order Contract is just an introduction to anyone interested in JOC.

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Are “Unabsorbed” Office Costs Real Damages?

Construction Dive

By Bruce Jervis The Eichleay formula, used for calculating and recovering home office overhead in a delay situation, has long been controversial. If periodic progress payments are extended over a longer period of time, the contract does not cover, or absorb, fixed costs at the rate anticipated when the contract was bid.

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A glossary of terms with reference to Construction Cost Estimating

Construction Cost Estimating

It also (ideally) details the terms and conditions of the construction or repair contract and itemises all work to enable a contractor to price the work for which he or she is bidding. Some refer to these risks as "known-unknowns" because the estimator is aware of them, and based on past experience, can even estimate their probable costs.

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JOC Coefficients Less than 1.0

Job Order Contracting

A Job Order Contract (JOC) coefficient refers to a multiplier that is used to adjust the prices in a JOC contract. It should be used to account for contractor overhead and profit. A unit price book should represent the costs for construction tasks (material, labor, and equipment) without contractor overhead and profit.

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