Do you show detailed pricing in your estimate or one final price?

We have battled the challenges of offering every detail to our pricing. So, we took the advice of an industry Guru and took all of them off our paper work, only allowing the prospect see the final price. I don’t know it cost us any work but it has its own unique challenges. We are now considering showing everything to eliminate the flood of questions regarding pricing at each and every item.
Do you show a detailed pricing breakdown? AND… why?

Thanks!

I show detailed pricing so the homeowner knows where they are spending their money. It also informs them on the charges for labor vs. material cost. I have won jobs based off me having a detailed price breakdown. The guy who gave a final price was the lowest bidder and I won because of detailed pricing.

Short answer: no, we do not show a detailed breakdown of pricing.

When we first started off we did, but we found people would take apart our bids and try to do things themselves to save money. (With commercial work you can imagine this isn’t an issue, so detailed price is generally provided upon request.) When this happens it always slows down the project, and they don’t always take every step needed to create a successful end product, and creates far more problems than it’s worth.
We see it this way: they are hiring a contractor to make the process go as smoothly as possible and more than anything to make sure it gets done right!
If we do run into a situation where we need to show detailed pricing for whatever reason, we make sure to note under the larger priced items exactly what we are doing, the various steps involved.
(Ex: Sand, stain, and finish wood floor - Note: Includes: Various sanding disks, and screens; wood filler; wood stain; polyurethane finish; labor. Quality: 1 coat of wood filler, 1 coat of stain, and 3 coats of finish.)
We’ve found this helps immensely. Hope this helps.

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It is up to the client.

I ask the client up front what type of contract they would prefer. Often they have very specific preferences.

We always start with a simplified estimate but provide more details if they request. Too much detail can be an overload to some clients who don’t have much knowledge in the process.

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I have found that a detailed description of the work to be performed makes the client much more comfortable. It also shows both the client and contractor on paper what is being done and allows the client to make comments, changes at that time.
After all, you are working on the client’s home with their money. They deserve to know.

Yes. Some contractors build there estimates different then others but if you can’t break it down by item at least you can break it down by room.

I use lump sum pricing since I pay sales tax at time of purchase. This way I don’t mark up the product and have to collect sales tax. I figure in my labor, material, and overhead cost to achieve the final price to the customer.

I do a little of both… I give a one word description and how much it will cost… and then the total… For example: Concrete= $2,000.00
Supplies= $1,500.00
Machine= $1,200.00
Labor= $2,000.00
Total= $6,700.00 Hope this helped :slightly_smiling_face:

There is a certain amount of detail that is entered.
Enough for the client to have a solid understanding of what and why they are being charged.
It is important to not over divulge because it leaves you open to unnecessary scrutiny.

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We provide a detailed estimate, so that the customer knows where their money is being utilized and how we calculate our prices. So far, all customers have appreciated this aspect of our business. Generally, customers have no idea how much is actually entailed into installing a new roofing system. Thanks, I hope this helps!

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Like many above me have stated, a good estimate should definitely include a pretty solid amount of detail of the scope of work, that way the client will know, and understand what it is they are paying for and give them the opportunity to ask clarify any questions or comments they may have. Generally clients appreciate it since this way, they won’t be in dark of what’s being done.

I do a detailed estimate but including labor materials delivery and taxes as well as insurance, overhead and profit built into the itemized proposal.

We basically provide a simple estimate (ballpark ) on first place based in dimensions and some visual conditions ,when relationship becomes more serious and customer request we provide the official and detailed quotation .

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We provide a line item bid per bid with stating everything that is included per trade with detailed scope. Exclusions listed at bottom of bid.

We use some detail for Estimates. We will define the scope of work to be performed and the materials to be included but do not give specific pricing for each item. We have found that if we do not include this level of detail all to often the client “assumes” that it was included or “didn’t know” they had to provide any materials.

I guess in the end, you have to do what you feel is best for your business :slight_smile:

It depends on the client, however our company prides itself on transparency and we happily itemise all costs.

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It depends on the job but detailed pricing is usually the best way to bid jobs.

We include the items but not quantity and then a total price of everything. Haven’t had any issues with this so far.