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Pricing and selling

Post-frame barn · part 3 of 7 · 1:12

The price book, the estimate, the proposal, price escalation and the owner's portal.

What the narrator says
  1. Part three: pricing the job and getting it signed.
  2. Your price book holds what you pay for materials and labor. Start from Keystone's starter prices, or import your supplier's price list, and update a price whenever it changes.
  3. The estimate prices the approved model line by line from your price book, then adds contingency, overhead and profit. You see the price to the owner and your margin at the top.
  4. It also builds the schedule of values by cost code. That becomes the budget for job cost, and the lines you bill against later.
  5. The proposal writes itself from the estimate and the model: what you'll build, a picture of the building, the price, and how long the price is good for.
  6. If lumber or steel prices are moving, put the price escalation clause on the proposal. If a price jumps later, the change order works out the difference for you, under the terms the owner signed.
  7. The owner gets their own portal. They sign the proposal online, make their selections by the date the job needs them, sign change orders, and pay.
  8. They can turn the building in 3D, see the dates, and follow along as it goes up. Fewer phone calls asking how it is going.
  9. Next, permits, buying, and subcontractors.