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Some advice on bids and contracts

Discussion in 'Introduce Yourself to the Community' started by NPMinc, Dec 2, 2010.

  1. I know alot is already on here regarding these issues but I just wanted to offer some advice that I have found to work for me over the years and has helped me grow the company.

    First off I will touch on bids. My main thing I tell guys new to the industry is that unless you are CERTAIN you have the equipment, manpower, and all other variables in place to competently handle the job, then don't even bid on it. I have seen (and made alot of money bailing out) way too many guys who jump in completely over their heads with jobs they "thought" they could handle. Have even seen a few be taken to the courts over this for breach of contract. Also be sure to have a contingency plan in place to account for unknowns such as breakdowns, blizzards etc. Of equal importance is don't come in with some lowball bid just to get the job. Figure out what the job will cost you (ins, fuel, materials,etc) and make your bid accordingly. After all we are all in business to make not lose money!(I think)

    Next is Contracts. While I will negotiate prices there are few things that for me are non-negotiable deal breakers. This goes for all aspects of my business, such as landscaping,building maintenance etc, not just snow removal. Its simple really, in that if the potential customer will not agree to all provisions,terms,and disclaimers regarding liability etc, then we don't have a deal. I will not negotiate on these especially regarding liability, as they are written in the contract to the point where I (as well as my attorney and insurance agent) am comfortable. Sure I have lost business over this, but to this point not lost sleep worrying about an unexpected lawsuit etc. That being said make sure you include all provisions in the contract to make you comfortable with the job and to CYA. Also be sure to have an attorney review your basic contract to ensure legality etc.

    Sorry if I covered stuff that is elsewhere on this site but just wanted to share some info that I would have found usefull back when I was starting out.