Tuesday, October 11, 2011

Don't have a heart attack when you get your remodeling bill.

In order to make the remodeling process easy for our clients, we've developed systems and processes, and labeled them with terms that you’re probably very familiar with. Those terms are things like an estimate, a bid, a proposal, and a CO or change order. These terms can be very confusing because they are used differently by different companies.

Let us walk you through the steps of a construction job and explain what these terms mean to us at Star Construction.  Our aim is to provide the best customer experience with the best product, at a best price, with no surprises, so that you avoid a homeowner heart attack!


Once you've read this, pick up the phone and call me.  Let's talk about fixing that old bathroom that desperately needs an update.  Let's plan a small or a large job before it gets too cold, or even plan for the spring.

Estimates

We use the information provided by you to create an estimate of cost and time needed to build what you have asked us for. We do this with the aid of a computer estimating system, and based on similar types of projects that we have completed.

An estimate is not an exact number, but a general range of what we believe the time and cost of the project will take to complete. You have control to say if this is the right product, at the right price range, for the features you want.  Click here to see a sample estimate. 

Bidding

When the scope and timetable bring the estimate into an acceptable range you’re ready to go to the next step. With your commitment to work with SCC we’ll start the bidding process. This step allows you to further control the budget and scope of the work.

The bid will take the estimate information, refined with your help, to make scope of work choices and selections of products. This allows us to give detailed information to our subcontractors and venders to use in providing quotes that will become part of the final bid you will receive. The bid will look very much like the estimate, but contain all scope of work details and the cost of products selected and quoted, from venders and subcontractors to determine the final price.

Proposals

We then incorporate that information into the form of a proposal, which creates the legal agreement. Your project information is brought over directly from the bid, plus provides payment information and a project duration schedule. (To see an example, click here.)  The purpose of this is to show you in writing what you are buying, how long it will take, how much it cost and when those payments need to be made. Info in the bid and proposal are then used to generate work orders and purchase orders.

Phase Reviews ensure that the work completed is acceptable to you before continuing on to the next phase. You will be asked to sign off on completed work as we review it together during each Phase Review.

Change Orders

If you ask to add or modify the work, or if unexpected issues arise that need to be addressed we would need to create a Change Order. Change Orders are paid in advance and would become part of the next Phase Review if applicable, before moving forward with the remaining balance of the project.

Why do we create these processes and procedures? The answer is we find that it provides more value, clarity and understanding of the project for our clients.

Star Construction strives to provide this each and every day!

1 comments:

  1. Thank you very much for this well written overview.

    I would like your customers to know that you have been very instrumental in helping us shape the www.MyOnlineToolbox.com platform that you are using for your contracting company.

    An intangible I would like to add is that you are very cordial and diplomatic when we have run into system issues (for lack of a better word in this forum). You are very consistent and thorough in all your communications.

    My instinct is that you are the same when working for your own customers, both on the positive side and also when dealing with the unexpected topics that go into remodeling and repair.

    This post of mine can serve as a thank you as well as a reference to you being a good person to work with.

    Brian
    MyOnlineToolbox

    ReplyDelete