CHOOSING A CONTRACTOR: WHAT TO LOOK FOR IN A QUOTE
Posted on: 2014-11-17
Quotes, service agreements, bids, estimates– all of these words are technical and industry terms for essentially the same thing: price. While it is a little more complex than that, a property owner understandably focuses on their bottom line and the value of the work. Labour and material costs are often included in a contractor’s quote, but that’s not all. The list below outlines the most important features of a reliable quote from a quality contractor.
Client name, project address, contractor’s information, outline of project, itemized or total labour cost, expiration of quoted price (optional: material and clean-up costs).
While something as simple as a contractor’s phone number may seem silly, it is absolutely necessary to have all of the basic information included in the document. All of the above is needed for a valid quote. The hardcopy of a quote may be the only thing a property owner has to prove they are not on the hook for costs over and above the initial agreement. Also, quotes should not incur any obligation on the property owner to proceed with the work as quoted.
When an agreed upon quote is reached, the property owner and contractor should work together to produce a service agreement or contract. This document differs from a quote as it should be more detailed and should also be signed by both parties as a binding, legal agreement to complete the work for the quoted price.
Service agreements or contracts should contain all of the same information as the quote, but to a greater degree of accuracy:
- Contractor business and GST numbers should be included
- Every aspect of the project should be clearly itemized, priced and defined
- All client/contractor responsibilities should be specifically outlined
- Start and expected end dates must be set
- Allowances for unexpected problems can be given
- Terms and methods of payment should be very clear
Once all requirements are met, both the owner and contractor should sign and date the contract and each should receive a copy.
Parabola Developments prides itself on the quality and accuracy of our quotes, thanks to the experience and skill of our contractors. We handle every project with care and have a long track record of fulfilling and even exceeding our customer’s contracts and expectations. With a clear, precise quotes and fair contracts, property owners can be comfortable choosing Parabola for their next project.
Contact us today if you’re ready for your quote!