Hi Marshall, do you ever do cost / plus contracts, or are you also giving a fixed price to ensure maximum profits? Even fixed price on a residential build?
As it relates to residential builds, I'll use Cost Plus is an option for more sophisticated Owners that might have an Architect or Owner rep running the project, even developers/investors; they typically know the business and want the best pricing and Cost Plus + Fee is the best way to achieve that result while still having the most competent Contractor execute the project. In that scenario, I will entertain Cost Plus. Otherwise, in Residential Builds, I recommend fix price. Commercial Projects and Public works are mostly fixed price with an approved Schedule of Values.. some are Unit Price, but for the most part Fixed.
@@stsettle98 your subs bid their appropriate scopes. You estimate whatever you’re self performing if anything? There is a lot that goes into estimating, Gen Cons, OH & P, Insurance, Bond, etc. Are you a Contractor?
@@stsettle98 When you’re ready to make that move. I can help you. Check out my ALP University and Contractor School, all the resources you need are there in extreme detail.
Hi Marshall, do you ever do cost / plus contracts, or are you also giving a fixed price to ensure maximum profits? Even fixed price on a residential build?
As it relates to residential builds, I'll use Cost Plus is an option for more sophisticated Owners that might have an Architect or Owner rep running the project, even developers/investors; they typically know the business and want the best pricing and Cost Plus + Fee is the best way to achieve that result while still having the most competent Contractor execute the project. In that scenario, I will entertain Cost Plus. Otherwise, in Residential Builds, I recommend fix price. Commercial Projects and Public works are mostly fixed price with an approved Schedule of Values.. some are Unit Price, but for the most part Fixed.
Thank you. How do you create a fixed price for a project where there are so many elements, you have to estimate subs, very high risk?
@@stsettle98 your subs bid their appropriate scopes. You estimate whatever you’re self performing if anything? There is a lot that goes into estimating, Gen Cons, OH & P, Insurance, Bond, etc. Are you a Contractor?
@marshallwilkinson I am a framing contractor so work as a sub but would like to move into a GC role and create contracts for the whole build
@@stsettle98 When you’re ready to make that move. I can help you. Check out my ALP University and Contractor School, all the resources you need are there in extreme detail.