Cost & Price

[Phil Nilsson]

With job cost knowledge you can know if you have efficient costs (can't be done cheaper or faster) and that's about as good as it gets. Using your efficient costs as a starting point you can then develop prices. You might want to come up with three price levels for the very same job.* Base Price, Realistic Price, and Premium Price. For any one bidding event do the mental "gymnastics" of trying them on for size price wise to see which you'd like to go with. Sometimes a contractor may find himself "hungy" for work and at other times booked so far in advance that a lower price is not needed to generate work. Nevertheless, bidding and pricing is the single most important thing you'll do because it is the "future" of where your business is going.

Today's bids are tomorrows' customers and the real "make up" of your company. Your company is the customers, you, employees, and assets necessary to deliver your services.