Replies

1. 
   Mike_Smith | Dec 08, 2001 02:20pm | #1

   *
   no contract... no schedule...

   how can you commit if they won't ?

   also, along those lines... no deposit, no contract...

   this business is hard enough without making one-way commitments..

1. 
   Terry_Smiley | Dec 08, 2001 08:54pm | #2

   *I never felt comfortable explaining this to prospective clients. It sounds like your pushing the sale, even if it's true. So I agree with Mike, first come, first served. Explain life to them later, it's their loss and they should understand. The funny thing is, it's always worked out for the best for me. I don't know why, just lucky I guess. Realize how lucky you are to be in this position, it will make you more confident with new prospects. Confidence sells!Terry

1. 
   WmPhelps | Dec 08, 2001 08:54pm | #3

   *Id agree with Mike above me. If they are unsure when this work will be and the designer doesnt really know, how can you really schedule them in effectively?Until the designer is finalized how can you give an accurate bid? Contracts agreed upon result in more money then contracts not agreed/signed.... Priority goes to those that contract.

1. 
   FredB | Dec 09, 2001 12:33am | #4

   *Question: Do they want you specifically? Or, do they just want some input from you for the design process?If they want you specifically they should be willing to write you a contract to reserve a spot in your schedule. How much that is worth to them and you is a thing to be worked out in your negotiations.If they just want input, do they want it with the idea you will be hired? Or, do they just want free advise? You need to know and then decide of you want to give free advise, or charge a consulting fee based on the work to be done.It is pretty common for the designer to pay for help in the design process. Then pick the "best" bidder among those able to meet the required schedule. Don't think you can let greed about a possible job influence you. You need to run your business and let them run theirs. You decide what is a freebie and they make their decisions. Whether you get the big job or the little sorts itself out. BUT, usually the guy who has input has an inside track at contract award time.

1. 
   Schelling_McKinley | Dec 09, 2001 03:15am | #5

   *I think that this is a problem for anybody who does good work. One of our most profitable jobs ever was taken on this basis. We had projects booked for a year when we were asked to bid on a 5000 sf addition. We decided to bid high enough so that we could hire the best subs we could find and still make a profit, if we found ourselves unable to do a substatial portion of the work. We got the job and were able to postpone another project but we could have done it all if needed. It is very relaxing to bid under those circumstances.

2. 
   mckee_and_sons_remodeling | Dec 09, 2001 07:03am | #6

   *Fred, the "potential customer" was trying to get a feel for my company and our qualifications. We discussed possible start dates and a few days later we had two more contracts signed with other customers which put the "start date" three months down the road. So I suppose what we really need to know is how to present this to potential customers without losing the "job" before we get it. We also lost the opportunity to bid a job because of our long lead time.

3. 
   FredB | Dec 10, 2001 02:04am | #7

   *From what you said in the last post I don't think there would be a problem being right up front with them. Be sure things are straight as I posted before. Then tell them you can give them a firm date once you know you have the job and just exactly what they want done. Explain that without a reservation you just can't reserve schedule space but will give them your highest priority once you know you have the work. Explain you are a busy company and in order to give everyone first class service you have to take them in the order they give you firm contracts.This has worked for many people and is pretty standard when handling these kind of "don't know exactly when or what" situations.If the designer or the owner don't understand this scheduling thing then from my experience they probably would be too unreasonable on the job. So, you wouldn't want the job anyway.

4. 
   Mark_McDonnell | Dec 10, 2001 03:32am | #8

   *Never fails to say- "First come, first serve."Amen Fred, Most folks are big people. They know all about those "bonus sales, be the first to arrive, only 20 units per store, no rainchecks.....ect.Why are we any different?This a is a great maketing tool that you as a businessman EARNED! To be able to offer your services and honestly state that you are in demand creates an added value.Sometimes people will pay a premium for the "in-demand" outfit.Again, you have earned this "problem". Make it profitable!

5. 
   mckee_and_sons_remodeling | Dec 10, 2001 04:56am | #9

   *I can't say thankyou enough to all of you for the good advice. It is wonderful to have resouces like this available when you are unsure of things. Again thanks, Pleas

6. 
   Vince_McCauley | Dec 14, 2001 11:49pm | #10

   *When a potential customer customer asks me "When can you start?, I tell them we do not schedule a job until we have a signed contract and the start date is dependent on what When asked about a start date, I tell the potential customer that our lead time is approximately 5-6 months from the time a contract is signed. If they are just starting design stage and want us as the builder, I explain to them that we offer a pre-construction agreement. This agreement, when signed, will put them on the schedule and it also has a hourly fee for working with them, answering questions, recommending products, etc. The normal up-front deposit is dependent on the estimated total square footage of the project. We charge our hourly fee against the deposit and refund the remainder upon the signing of a construction contract. There is also a termination fee that they must pay if a construction contract is not signed by a certain time. If they really want you as their builder, they have no problems with this.

2. 
   mckee_and_sons_remodeling | Dec 14, 2001 11:49pm | #11

   *
   We have a problem that we've never encountered before. We have always just scheduled the job when we received their signed contract after the estimating/planning/bidding process was over. They go to the bottom of the list. We now have a list that is 6 months long. Nice problem, but someone else called us about a large project that will be a while in the design/planning process (with a designer) and if we follow our standard procedure we might be booked into fall by the time the proposal is delivered and the usual contract signed. So how do we hold a spot in the line-up when we don't even know for sure if they will end up hiring us, do we explain our situation and request a commitment in order to schedule them?? How do we do that?? We really need some advice from other builder/remodeling contractors SOON.