Navigating the intricacies of pricing post-construction cleanup projects can be a daunting task. This streamlined guide will assist you in establishing an appropriate pricing strategy, ensuring you offer competitive and fair quotes to your clients while maintaining profitability.
Understanding Costs and Manpower
- Initial Considerations: Before quoting, assess the necessary costs and manpower.
- Average Workday: An average full cleanup workday is 8 hours with a team of 4 laborers.
- Daily Costs: Depending on the project scope, a full day’s work may cost between $750 and $1,200.
Establishing a Pricing Model
- Average Cleaning Price: With the average price for a clean being around $7,000, use this as a baseline for daily pricing.
- For projects lasting 7 days or fewer, consider pricing at $1,000 per day. For example, 6 days would equate to $6,000.
- For projects exceeding 7 days, divide the number of days by 2 to calculate the price. Thus, a 12-day project would also be $6,000, reflecting increased team productivity in larger spaces.
Utilizing Estimation Tools
- Project Estimator: Employ a project estimation tool to align project pricing costs with your internal estimates.
Standard Rates with Construction Clean Partners
- Square Foot Pricing: Quote at $0.25 per square foot unless it is a union job or subject to Davis Bacon Prevailing Wage requirements.
- Proposal Templates: Utilize proposal templates to draft your submission efficiently.
Market Trends and Statistics
- Project Pricing Breakdown:
- 66% of projects fall under $5,000.
- 16% range between $5,000 and $10,000.
- 80% of construction cleaning projects are priced under $10,000.
- The most common contract amount stands at $7,300.
- 10% of projects range between $10,000 and $20,000.
- Projects over $20,000 comprise only 3% of total jobs secured.
Risks and Considerations
- Pricing without Site Visits: Be cautious when pricing from plans without a site visit. You might not account for variable factors like ceiling height and the associated cost of lifts.
- Pricing from Plans: If you must price from plans during bidding, stay below $0.25 per square foot to remain attractive to estimators or project managers.
Negotiation and Site Assessment
- Post-Award Strategy: Upon indication of interest from the project manager, be prepared to negotiate. Request a site visit to discuss finer details like mobilization before finalizing the contract.
By adhering to this structured approach, you can establish a pricing strategy that balances client satisfaction with business sustainability.