In construction bidding, price is always a key consideration. Sometimes, on small jobs, the customer may move quickly after reviewing just an estimate, treating it, in effect, as the bid that will represent the formal terms of the deal.Įstimates should be as accurate as possible, progressing through levels of precision from preliminary or ballpark to square foot, assembly, and final estimate.
Using construction bidding software can help ensure you’re bidding the right amount. The difference between the bid amount and your expenses is your profit. We consider a bid to be a firm offer to the customer. Generally, an estimate is the calculation of the contractor’s internal costs (including materials and labor), while a bid is the final price charged to a customer. The definitions of the two are somewhat elastic. We will delve into those in detail later on.įirst, it’s important to distinguish between a bid and an estimate, terms that are sometimes used interchangeably. However, there are a lot of nuances and complexities behind this seemingly straightforward formula. If you're interested in learning more about construction planning, visit this comprehensive guide to construction plans. The process of forming a bid begins with examining construction plans and performing material quantity takeoffs. In order to create successful construction bids, remember the industry golden rules: Start with highly accurate cost estimates, and submit the lowest bid of all the competing contractors. It’s also the method through which subcontractors pitch their services to general contractors. No-code required.Ī construction bid is the process of providing a potential customer with a proposal to build or manage the building of a structure. WorkApps Package your entire business program or project into a WorkApp in minutes.Digital asset management Manage and distribute assets, and see how they perform.Resource management Find the best project team and forecast resourcing needs.Intelligent workflows Automate business processes across systems.Governance & administration Configure and manage global controls and settings.Streamlined business apps Build easy-to-navigate business apps in minutes.Data connections Synchronize data across critical business systems.Secure request management Streamline requests, process ticketing, and more.Process management at scale Deliver consistent projects and processes at scale.Content management Organize, manage, and review content production.Workflow automation Quickly automate repetitive tasks and processes.Team collaboration Connect everyone on one collaborative platform.Smartsheet platform Learn how the Smartsheet platform for dynamic work offers a robust set of capabilities to empower everyone to manage projects, automate workflows, and rapidly build solutions at scale.