Bids and Estimates
Construction Forms Series
Intro. No one needs to explain how important it is to properly prepare your take-offs used to set the amounts contained in a construction contract. Especially as to a stipulated sum or lump-sum contract. By law, the contractor assumes all risk as to whether profit and overhead is received on the job. And, many times you are held to the price regardless of site conditions, building codes, and changes requested by inspectors, architects, engineers, and the owner (assuming you are not successful in getting a signed change order).
On the plus side, a stipulated sum contract, as opposed to a T & M or cost-plus, does not require you to divulge the identities of subcontractors and suppliers in a construction form–you need not furnish copies of bills, receipts, and other backup. Even if there is a subsequent mechanic’s lien lawsuit. But as stated above, without a proper estimate, you may not be getting the profit you originally envisioned. For this reason, we have created this little Kit of tools that will allow you to focus on a realistic price for services performed.