So, you have decided to build your dream home, but of course, you need a builder. After doing your research, you have found a potential winner but before signing any contracts, we need a proposal. Within this blog, we uncover everything that should be included in a detailed building proposal.
When we say detailed, we mean beyond 1 page and more like 15-20 pages, depending on the job at hand.
With this in mind, let’s jump right in!
Name, Address And Date
Pretty straightforward, but also very necessary. The Proposal may only be valid for one month, so it is essential that the date is clearly stated.
Introduction To The Company And What They Do
Of course, we need to make sure this company is a perfect fit for your project.
In this section of the proposal, the company should state the services they provide. For instance, if the company only specialises in renovations, but you are looking to knock down and rebuild, this may not be the builder for you.
Scope Of Work
To elaborate, a scope of works is an outline of what will be completed throughout the sequence of the construction. For instance, this may involve demolition, site surveying, frame installation etc.
Total Fixed Price
In most cases, a fixed price is to be reflected in a proposal, displaying the total cost. It should be noted, the price may change throughout the process during the selection of materials. Of course, this will be after discussion and confirmation of the client.
To summarise, your inclusions area will state what the fixed price will include and excluded within the construction process. In this case, Electrical, painting, roofing, carpentry, storm waterworks, just to name a few.
What can this company offer you?
No hidden costs or fees? Locked in handover date? Whatever it may be, the company can provide reassurance on what they can offer and follow through.
Within a detailed proposal, there should be mention of a construction schedule. Generally, this will include the sequence of events throughout the construction process. To add depth to this portion, it is beneficial if a live platform is mentioned that displays any changes to the schedule.
Licenses and Associations
When choosing a builder, it is essential to confirm they have all the appropriate licenses required. Essentially, this is to ensure the builder is legitimate and legally able to complete the work. The associations the company is involved in is a great way to understand how they stay up-to-date with changes and updates in the industry.
Builders’ Responsibilities / Client’s Responsibilities
Throughout the building process, there are responsibilities for both the builder and the client. This is to set transparent expectations. Some responsibilities of the client may be site access and timely selection of items. Whereas, some of the responsibilities of the builder are to complete the works following the Building Code of Australia, and Workplace Health and Safety requirements, just to name a few.
Schedule Of Payment Process
Within a professional proposal, a payment schedule can be greatly beneficial for the client. In short, it indicates at which stage payment will be required, so they are prepared in advance.
The Next Step
Lastly, a rundown of the next step to start the construction process. Essentially, a formal contract can be presented for signing once the proposal is accepted. This should also state any documentation and deposit required.
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