How to Bid on a Retail Construction Job
- 1). Select a retail construction job in the bidding phase and procure the plans and specifications. These instruments provide the information you need to make a competitive bid. The plans show where the job is, what needs to be done and detailed drawings of the way to do the things that are not obvious. The specifications outline the quality of the material and other information not shown on the plans.
- 2). Use the drawings to make a take-off of the material. Assign each item a separate numbered line. List each line item in units and designate a price per unit. State the number of units the job requires and multiply this number by the unit price. Add all the results at the bottom of the page. This amount becomes the material sub-total.
- 3). Determine the hours of labor required to complete each item, group of items or phase of the work. List the number of hours in the appropriate column. Determine the rate of pay for each job and multiply this number by the number of hours. Add the amounts to create a labor sub-total.
- 4). Prepare the bid by listing the labor and material sub-totals. List as a sub-total any bid amounts received from subcontractors. Add to the list miscellaneous costs such as temporary toilets, trash hauling and equipment rentals. Include all taxes you might expect to pay. Add overhead costs (usually about 5 percent of the total amount above). Add 10 percent profit to the total of the items listed.
- 5). Prepare the final bid by stating you will do the work according to the plans and specifications for the total amount of your estimate. State the time frame for completing the job. State the schedule of progress payments expected (if any). List any other stipulations appropriate to the situation and job conditions.
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