- This topic is empty.
-
Posts
-
I have been looking at the amount of work that goes into a commercial construction project before the first worker even arrives on site. There is usually a lot more planning involved than most people realize. One part that seems especially important is figuring out how much the whole job could cost.
For a contractor, this is not just about adding a few prices together. There are drawings to read, quantities to measure, materials to research, labor to consider, and subcontractor prices to review. On a larger project, there can be so many details that it becomes easy to overlook something.
That can make the estimating stage one of the more challenging parts of a construction job.
Starting With the Project Plans
The plans are usually the first place to start. They provide the details needed to understand what is actually being built.
A contractor may need to look at architectural drawings, structural plans, electrical layouts, plumbing plans, and other documents. Each one can provide information that affects the final cost.
For example, a change in the building layout could affect the amount of framing, drywall, flooring, electrical work, and even labor required.
This is why I think rushing through the drawings can create problems. It may seem like a small mistake at first, but it can affect several parts of the estimate.
The Problem With Guessing
I think guessing is one of the biggest risks during estimating.
If someone underestimates the amount of material needed, the contractor may have to purchase more later. If labor is underestimated, the project could become much more expensive than expected.
The opposite can also happen. If the estimate is much higher than the actual cost, the contractor may submit a bid that is not competitive.
Neither situation is ideal.
The goal should be to create a realistic estimate based on the available project information rather than simply choosing numbers that seem reasonable.
Why Some Contractors Get Extra Help
A busy contractor may not always have enough time to handle every estimate personally. Running a construction company already involves dealing with clients, workers, suppliers, schedules, and active job sites.
When several commercial projects need bids at the same time, estimating can become a serious workload.
While looking into this issue, I came across commercial construction estimating services, and it made me curious about how many contractors use outside help when their internal team is already stretched.
I can understand the appeal. Having someone focus on the quantity and cost side of a project could give the contractor more time to deal with other responsibilities.
Still, I think the contractor should always review the finished estimate. Nobody understands the company’s pricing strategy and project goals better than the contractor themselves.
Materials Are Only One Part
Another thing worth remembering is that construction estimating is not only about materials.
Labor can be a major part of the overall cost. Equipment, subcontractors, delivery, waste, and other expenses may also need to be included.
Different projects can have very different requirements.
A retail building, for example, may have different needs from a warehouse or office renovation. Even two similar buildings can have different costs depending on the specifications and site conditions.
That is why a detailed estimate needs to be connected to the actual project rather than based on a generic price.
What About Subcontractor Quotes?
This can be another difficult part of the process.
Commercial projects often involve several subcontractors. A contractor may receive quotes from electricians, plumbers, HVAC companies, flooring installers, and other specialists.
The lowest quote is not necessarily the best choice.
It is important to understand what each quote includes. If one subcontractor has left something out, the lower price may not actually be lower once everything is considered.
Comparing quotes carefully can help prevent surprises later.
Plans Can Change
Construction plans are rarely completely safe from changes.
A customer may request a different material, an architect may revise a drawing, or a contractor may discover that something needs to be adjusted.
When this happens, the estimate may need to be reviewed again.
Keeping the original calculations organized makes this much easier. If the contractor knows exactly how the original number was created, they can identify which parts need to be changed.
Is Professional Estimating Right for Everyone?
Probably not.
Some contractors have experienced estimators on staff and prefer to keep the whole process in-house. That can work very well.
For smaller companies, however, bringing in outside support may be useful when there is more work than the existing team can handle.
I think the decision should come down to time, project size, experience, and the contractor’s own workflow.
Final Thoughts
Commercial estimating is one of those jobs that can be easy to underestimate itself. It may happen before construction starts, but the numbers created during this stage can have a major effect on the rest of the project.
Taking the time to review plans, calculate quantities, check costs, and compare subcontractor quotes can help contractors prepare more realistic bids.
There will always be unexpected issues in construction, but careful estimating can at least give contractors a stronger starting point.
For those who work in commercial construction, how do you normally handle large estimates? Do you prefer keeping everything in-house, or do you bring in additional estimating help when your workload gets busy?