When bidding for a construction project, several things can result in your company accidentally submitting inaccurate information.
Be aware of common mistakes and follow these practices when calculating your next bid to avoid a costly situation where you might have to complete the work at a loss.
1. Visit the site
It can be tempting to forego a visit to your site because of time, budget, or convenience, but basing your bid solely on the information in the bid packet can be risky. Without visiting the site, you might overlook existing conditions that could impact your estimated costs:
- Limited infrastructure: Availability of utilities such as electricity, water, and sewage
- Restricted access: Ability to get crew and equipment to and from the project site
Being aware of relevant site conditions can help you avoid unforeseen costs.
2. Double-check your math
To avoid miscalculations, provide enough time to complete and double-check your figures. At least two people should go over the numbers to verify them.
When bidding for a project, it is essential to get the calculations right. By ensuring your math is correct, you can be confident in the accuracy of your bid.
3. Factor in equipment costs
Account for tools or equipment you might need to purchase, lease, or service to complete the project. When calculating material costs, do not underestimate how much investment goes into maintaining your equipment.
Determine whether your machinery will need fuel, oil, or regular maintenance, and include those costs in your bid.
Creating accurate project bids is vital for success when trying to win construction contracts. Utilizing these tips can help you prevent costly mistakes.