Monday, February 29, 2016

Would a Mercedes be a Mercedes if it cost half as much — or — would it cease to be a luxury vehicle? 

Imagine if a Mercedes were suddenly the same price as a Yugo, the people who currently buy Mercedes would shift to buy something else. 

Can you offer the highest quality product at a price all consumers can afford? How about the Builder/Remodeler who claims to be an expert, but offers a deeply discounted price? By offering a dirt-low price, are they sending the message to their intended customer that they’re really not the expert they claim to be?

When it comes to price vs. quality homeowners typically choose the middle of the road when making decisions concerning proposals for construction work.  The owner does not understand how to descope multiples of construction proposals. They are looking at the bottom line, and what will it cost? But still want all the quality and do not want to compromise on it.

I find myself thinking ..."So you want to put a deposit down on a Yugo but want to drive out with a Mercedes, Right?"  

A well-qualified proposal is one that is all inclusive of all aspects of the project, this may make the price higher than all the rest but it must contain and be expressive of all items and work to be performed.

The construction documents must contain all information as to avoid any change orders, and therefore causing an increase to the bottom line that the homeowner will have to pay.  The below conditions must be present in order to have a well-qualified proposal: 

  • Exact Architectural/Design Drawings
  • Comparable Product Selections
  • Exact Scope of Work
  • All applicable laws & building codes must be followed
  • Materials and/or installation methods must be at or above a level deemed professional
  • Company submitting proposal must be properly licensed, insured and a registered business for more than 5 years
  • Company must be registered with the Better Business Bureau and maintain an A or A+ rating
  • Electricians, Plumbers and/or Architects must all be licensed
  • Project Managers and Carpenters should be included in work staff
  • A complete timeline from start to finish must be provided

As a homeowner, of course price is important, but when choosing a builder, quality, honesty and a well-qualified proposal are the best traits to look for.  Anything less than that and you are opening yourself up to disaster and most importantly, more money flying out of your pocket!

Coleman Construction Services offers Estimating,Project Management and Training services to all 50 states.

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