Learning How to Get a Construction Project Started Out Right

John Gets Excited About His First Meeting with Gene

As usual John had been on the go, nonstop, trying to keep construction projects moving forward, collecting money, paying bills, meeting with new potential customers when he realized, he had six projects that needed proposals. As he thought about this, he realized it had been more than two weeks since he had talked with Gene about how to do proposals.

He picked up the phone and dialed Gene’s number. “Hey Gene, this is John, have you got a few minutes?” “Sure,” Gene said, “What can I do for you?” “I just realized that I’ve got six projects that need priced. This reminded me of our conversation a few weeks back when you offered to go through your bidding process with me. Does that offer still stand?”

“Sure,” said Gene, “when would you like to meet?” John thought for a minute realizing he wasn’t sure when he would have time to squeeze this in. “I don’t know Gene, as usual I’m booked pretty full.” Gene waited for a minute and then said, “I understand. Think back to what you said in our previous conversation. Do you remember how frustrated you were?”

“Your situation isn’t going to change until YOU decide to make it change.”

John rubbed his forehead. He knew Gene was right. “Okay”, John said, “I can squeeze in an hour or two Saturday. Would that work for you?” Gene shook his head and smiled, remembering what it was like to be where John is.

Then he said, “John I appreciate where you are, but the process of getting from where you are, to where I am, isn’t going to happen in an hour or two. I’ve been doing it for forty years. If you can commit to four hours Saturday, I will be glad to meet with you.”

“Realize, YOU are the only one that has the power to make this change.”

John sat there with all the things that needed done, bouncing around in his head. Then he thought about how tired he was of feeling out of control. Once again, he knew his mentor was right. Gene had taught him so much about construction and how to build things.

Now it was time to learn about the business part of construction.

“Okay,” said John, “How about we meet at noon on Saturday and I’ll bring the pizza.” Gene said, “That sounds great and we can get started, but that’s all this meeting will be…getting started. Like I said before I’ve being doing this for years. It takes work, it takes commitment, but the end result is worth it.”

“It’s more than just learning. It’s a lifestyle change.”

“John, most people in construction never learned the business side of operating a business. This is where they struggle until they get to a point where they give up. Bring an open mind and an open heart and be ready to have them both filled.”

“Nothing is going to change until you take action and do something.”

Now John was getting excited and looking forward to meeting with his friend and mentor and making some changes in his life. He was beginning to realize that a getting a construction project started out right, begins long before any construction takes place.

What is “Construction Clarity” and How Do I Find It?

Lack of Understanding is a Sure Way to Ruin a Construction Dream

It was Saturday morning and Jane was cutting some cloth for the dress she was making for her niece, when there was a knock at the door. She was surprised to find her friend and neighbor Connie when she answered it.

Connie said, “I was just out for a walk and thought I would stop by to see how things were going.” Jane had just made a pot of coffee, so she invited Connie in for a cup and a visit.

She offered Connie a chair at the table as she moved the material out of the way. As she brought the coffee to the table she said, “I sure wish I had a better place to do my sewing. The way it is now, I do my measuring, cutting and pinning here at the dining table. Then I carry it all downstairs to the sewing machine.”

“It sure would be nice if I had a separate room here on the main floor where I could do it all. For years I’ve dreamed of having a sewing room added onto the house. I just don’t have a clue where to even start. Hey, you had a room added on a few years ago, maybe I should get your contactor’s info and check into it?”

“Oh”, Connie said, “I don’t know if having a room built on is such a good idea. That construction project was the worst experience of my life!”

“What do you mean,” asked Jane. “Like you”, said Connie, “We had this dream project in mind…it turned out to be a nightmare. We had no idea what we were getting ourselves into. The contractor we hired was the brother-in-law of someone my husband works with. I just wish we’d never done it.”

“What happened that made it so bad?”, Jane asked. Then Connie started in, “You name it, if it could go wrong, it did. We were excited when we first met with the contractor and discussed our ideas. We had this vision of our beautiful new master bathroom. Shortly after that the problems began.”

“It started with waiting and waiting to get a price. Then the bid we got was a short brief description with a price that seemed kind of high. My husband I talked it over, we really want this new bathroom, so we decided to go ahead. Then the real problems started.”

“There was little to no communication from the contractor, we never knew when or if he was going to be there working. We never knew what we were being billed for. He would ask us questions using terminology that we didn’t understand. There were tools and construction material scattered everywhere throughout the project. Sometimes he was gone for weeks and nothing was done. His last bill pushed the project over our planned budget by 30%”, he said “it was the additional work we had him do.”

“The worst part of the whole thing…the finished project wasn’t anything like what our dream had been.

Jane sat there for a few minutes with a puzzled look on her face. Then she looked up at Connie, “Wow, I never knew. Maybe you’re right. Maybe my sewing situation as it is, isn’t so bad after all.”

A few days later Jane went to a book club meeting at Lucy’s house. When she pulled up in the drive, she noticed the new addition to Lucy’s house. Jane immediately started feeling bad about what Lucy had to go through.

After Lucy invited her in, Jane said, “I’m sorry that you had to go through this terrible construction ordeal.” Lucy asked her what she was talking about. Jane replied, “I was visiting with a neighbor Saturday and she told me how terrible construction projects are.”

With a puzzled look on her face Lucy said,

“I’m not sure what hers was like, but this has been the best experience of my life!”

“It’s like watching my dream turn into reality. Would you like to see it?”, Lucy asked. “Sure,” said Jane. They went into the addition and Jane was amazed. From the outside she assumed it was finished, inside she could see that it wasn’t.

Jane asked, “I assume the construction crew has taken a break between processes and haven’t been here for a while?” “Why would you assume that?”, asked Lucy. Because, Jane said, “According to Connie, builder’s leave everything scattered around, and everything is clean and organized here.” Lucy said, “No, the crew was here today, and they’ll be back again tomorrow. It’s been like this every day.”

Now Jane was really confused. What was the difference between these two projects? Maybe this one would still turn out to be a bad experience before it’s finished.

“Who’s doing your project?”, asked Jane. Lucy answered, “Gene with XYZ Construction. He’s been great to work with.” Then Jane had an idea and thinking out loud, “I’ve been thinking about adding on a sewing room. Would you be willing to visit with me more about Gene and your project?”

“Sure”, answered Lucy, “They’re scheduled to be done in a few weeks. Let’s set a date and we can meet here. That will give you a chance to see the finished project.”

Jane was looking forward to meeting with Lucy and finding out more about Gene and XYZ Construction.

What is “Business Clarity” and How Do You Find It?

A Lack of Knowledge and Inexperience Threatens Your Dreams

Once again, John was alone at the office late on a Saturday night working to get at least one more proposal done, before going home. He had promised four different customers their proposals this week. If all goes well, he’ll have this second one finished before midnight.

As John crunches numbers hoping he hasn’t forgotten anything, he asks himself, “Why am I doing this? I could go to work for somebody else and make more money and work less hours. This sure isn’t how I pictured it five years ago when I started the company.”

“I had no idea that running my own business would be this hard!”

John rubs his eyes and stretches his back and thinks, “I must be doing something wrong. When I was working for Gene at XYZ Construction he made things look easy. I wonder what he was doing different.”

John has been working like crazy all week long. Between production help not showing up, materials not being delivered on time, cost overruns and computer issues…projects are behind schedule, he’s losing money and even if he works tomorrow he’s going to have to disappoint at least one of the customers waiting on a proposal.

“How am I ever going to turn this around?”

When John finishes the proposal and looks at the clock, it says 12:40. It’s already Sunday he thinks and he still needs to proofread it, print it and sign it. Something has got to change! “I’ve been leaving home early and getting home late all week. I haven’t even spoken with my wife for days. I’m calling Gene Monday to see how he did things.”

First thing Monday morning John called Gene. After a few minutes of catching up, John asked Gene the question that he couldn’t quit thinking about. “Gene, I’ve been working day and night trying to keep up. When I worked for you it seemed like you had everything figured out. You weren’t stressed and when things didn’t work out as planned. Your customers understood what to expect with their projects and were happy when they were finished. What am I doing wrong?”

That’s the question that almost every business owner asks themselves.

“Know this,” Gene said, “When I started my business, I was just like you. I struggled to keep up, worked too many hours, neglected my family, was mad at myself for letting down my customers, my family and myself. I kept asking myself that same question. What am I doing wrong?”

“By the time you were working for me, I had figured some things out. It’s amazing what you can learn when going to the “school of hard knocks”. Keep in mind this is the most common process but isn’t the most effective.”

“What really turned my business around was when I found out about Solution Building’s, Blueprint for Building a Better Business.”

Think about how much easier and better a construction project goes when you have a plan. The same thing is true for a business. A plan gives you direction, keeps everyone involved working together and improves the odds for a successful outcome.

“John, if this is something you would be interested in, I would recommend starting with the, ‘Blueprint for Building a Better Proposal’. This is the most important and most neglected part of construction communication. If you’d like I would be happy to meet with you and go through the process and answer any questions.”

“If you know of any other construction companies that you think could use some help doing proposals share this information with them and they can meet with us too.”

“There’s a lot more to the ‘Blueprint for Building a Better Business’, but starting out, you should focus on the proposal system. After you get this part implemented, we can discuss which part of the business blueprint system would be best for you next.” After talking with Gene, John thought, “I’m sure glad I made this call. For the first time in a long time I feel like there might be a light at the end of the tunnel that wasn’t an oncoming train.”

Focus is Hard When There’s No Revenue

How to Determine When to Stop or Keep Going

What the heck am I supposed to be doing? Should I quit spending time trying to develop a coaching/consulting business? When there’s no revenue generated from it, the time spent working on it, takes time away from the current revenue generating construction.

I knew from researching, that it would take some time to develop this new business. I’ve been posting a weekly solution every week for almost four and a half years, that’s over 230 posts. During that time, I have attracted less than forty subscribers. Not to mention there is almost no interaction with the few subscribers that I have.

This raises questions. Is the content relative to our target audience? Maybe the low connection is a lack of writing ability? I started as a builder after all. Maybe it’s just a matter of how busy and overwhelmed everyone is? Maybe this isn’t the best format to reach them?

Uncertainty results in inaction.

I’ve always been a cautious person. I tend to overthink and analyze things to death. This process often leads to slow or no action. As I have considered whether to continue with the coaching/consulting, I’ve come to some conclusion. This was reached in part thanks to my wonderful Kingdom Builders Mastermind group and Andy Andrews book, The Travelers Gift, The Seven Decisions for Personal Success.

I include these seven decisions as part of my daily routine. After reviewing the input from the mastermind group, I realized these Seven Decisions paralleled the groups input and what I already knew.

Here are those Seven Decisions and how they pertain to this decision:

The Responsible Decision

My success or failure is up to me. Where I am is no one’s fault but mine. Where I end up is no one’s fault but mine. I have control over what I will do and how I will move forward. My past cannot be changed. My future is my responsibility. The buck stops here.

The Certain Decision

This is a tough one for me. I have spent too much time second guessing myself. My lack of certainty makes moving forward hard. How do I know if this is the right thing to do? I know this, because God has given me the knowledge of the need, the skills and experience to help others find solutions and a passionate heart for this task. I have a decided heart.

The Compassionate Decision

Forgiveness has never been much of a problem for me, as it relates to others. I forgive easily which often results in people taking advantage of me. Where forgiveness is an issue…is forgiving myself. I get stuck in the rut of replaying all my mistakes, failures or lack of achievements. I can’t let my past dictate my future. I will greet each day with a forgiving spirt. I will forgive myself.

The Guided Decision

When wondering what to do I seek direction from God and His Word, my friends and family, books, podcasts, blogs, etc. I’m constantly searching for wisdom. Too much of the time I’m seeking wisdom and not putting it into action. I’m looking forward to honest feedback from the mastermind group. I will seek wisdom.

The Joyful Decision

My attitude is a choice. How I respond or react to a situation is a choice. These choices affect my outlook. I can approach things with a discouraged, depressed, ungrateful heart. Or I can remind myself how fortunate and blessed I am to have been given the insight and skills needed to lead others in way to build better businesses, construction projects and lives. I will choose to be happy.

The Active Decision

Action is out of character for me. Concern that something done wrong will cause problems, leads to inaction. This inaction leads to nothing being done. Nothing being done helps no one. God is waiting for me to do something. Slow decisions lead to failure. Fear of failure keeps me from action. Just because a decision is made doesn’t mean it’s permanent. Failure only exists for the person who quits. I will not quit. I am a person of action.

The Persistent Decision

Not quitting or giving up is the cornerstone to these decisions. It is the one decision, if removed, causes the whole thing to crumble. Many times, I’m tempted to quit. By persisting, my outcome, my success, is assured. In Jeremiah, God says, “I have good plans for you, not plans to hurt you. I will give you hope and a good future.” Failure only happens if I quit…I will not quit. I will persist without exception.

After running my coaching/consulting question through the filter of these Seven Decisions, I’ve determined that I will keep going.

What exactly this will turn out to be, remains to be seen. I want to know now, exactly what it’s is going to be, down to the smallest detail. I need to shift my focus from so far out, to the first next step. Writing this week’s solution is that first next step. We’ll give some thought to how to reach out to those who would benefit from our help in finding their solutions and take the first next step.

Here is the Million Dollar Question

What if There Was a Way to Combine DIY and Professional Construction?

The question is probably more like a billion dollar one. The DIY industry is booming. It’s everywhere we look, TV commercials, internet ads, home improvement programs and online videos. There’s simply a level of pride that goes with doing things ourselves.

Why is the DIY industry so popular and prevalent?

That would be because the construction industry has let too many people down through a whole list of things. These problems certainly are good reasons to consider a DIY project. Here are a few other reasons you might think about doing your own construction project.

Price – is the number one reason for doing your own projects or being your own general contractor. Construction is expensive and the cost of professionals and general contractor’s markups are dollars saved.  

The important thing to consider is…

What are the dollars saved costing you?

As a professional I have witnessed too many DIY projects that have gone badly. The experience factor goes a long way to avoid problems. Depending on where you’re located, some construction actions require licensed professionals to do them. You probably wouldn’t stitch up your own gaping wound or represent yourself in court. Not that both haven’t been done, but they come with a risk. The cost of your time spent doing this rather than that, doing things over, unsolved problems or project disasters can be expensive.

The value of a professional often exceeds the cost.

Control – is another important issue that customers face. The construction industry has one of the worst satisfaction ratings. The only one ranked worse is the used car business. In too many cases customers have felt out of control. This makes it understandable why you would prefer to not deal with contractors. There is a comfort that comes from being in control of the project even with little or no experience.

Sense of accomplishment – is one of the best feelings that we experience. This feeling is especially connected with seeing a physical achievement. Stepping back and looking at something we built is satisfying. These are legitimate reasons you might consider doing your own construction project.

What if there was a way to do your own project while having access to professional experience, knowledge, and connections?

Wouldn’t this be great. This would be a win – win. If there was such a plan out there. What would something like this even look like? What would it include?

You might say, “There’s already services out there for connecting me with construction services. I can contact Angie’s List or Home Advisor.” The problem with these services is, the list of companies and individuals they provide to you, pays to be on the list. I know because they’re calling me regularly wanting me to pay dues and join. This isn’t the most reliable resource.

I’m considering something that would be more detailed and customizable. A service that would fit your individual needs. A mix of educating, advising, consulting. Something that would allow you to have your questions for your project answered.

This would allow you to “do it yourself” with the benefit of professional guidance.

As we research this service, we need your help. Give us your thoughts by taking this short survey or leaving comments below.

Why Do We Put Things Off Until the Last Minute?

This Seems to Be Especially Prevalent in The Construction Industry

I was visiting with some people recently about the disappointing number of companies signing up for the upcoming Blueprint for Building a Better Proposal workshop. I’ve seen the results of poor communication between contractor and customer. This workshop would help with this problem.

Every one of the people I was talking with said the same thing. “They’re contractors, they’re not going to sign up until the last minute. I wouldn’t be surprised if they just show up.”

Later I visited with a few different construction company owners and asked if they were coming to the workshop. Their answers were eerily similar…I’m not sure if I have time. I’ve got a lot of work scheduled. I’m not sure that I can afford to take a day off work. I’ll have to wait and see how things are going.”

Why would this be a problem in construction more than other industries?

I don’t know if it is more of an issue in construction than anywhere else or if it just seems that way because that’s where my focus is. There are a few things that I think contribute to this situation, construction or not.

Why are there so many that aren’t signing up for the workshop?

We’re too busy – We’ve said yes to too many things. We feel pulled in so many different directions. It’s common to hear people say, “I don’t have enough time.” Most of us overbook and then spend most of our time fighting the hottest fire. My argument is –

God has given us enough time…it’s up to us to invest it wisely.

We struggle with prioritizing – I’ve got this important project that I’m working on. It’s more important than learning something new. Every day we are learning in a variety of ways. The question is, which is the better investment, learning from “on the job mistakes” or from someone else’s. On the job mistakes can be very costly.

Learning from what someone else has learned is a good investment.

Not sure if that training is for me – How will you ever know if you don’t check it out? Most of the time our uncertainty is fear. We’re afraid to learn new things. “I’ve managed to get along just fine so far”. Wouldn’t it be nice to have a predesigned system that would improve your communication and increase your accuracy? The question is…

How long can “getting along just fine” be sustained?

I can’t afford it – Things are tight right now. Profits are down. Maybe I can do it next time. What if your out of business before the next time. There is a cost to any kind of schooling formal or otherwise. How long can you afford to not invest in yourself?

Investing in this workshop now, improves your odds for a brighter future.

I don’t know if the construction industry procrastinates more than any other. What I do know is, if you’re in the construction industry, time is running out to invest in yourself and your business. Don’t put it off any longer. Stop procrastinating and get signed up for the Blueprint for Building a Better Proposal workshop.

If you or someone you know would benefit from learning how to do better proposals, sign up here.

There Are a Lot of Construction Questions to Be Answered

Cartoon man looking up at large question mark

 

 

 

So, Let’s Move on to the Next Ones on the List

 

I’ve answered 11 of the 21 questions asked by the scouts. The first eleven were answered in two separate posts, what are the best construction questions and construction questions about the physical process. Let’s see if I can squeeze the final ten in this post.


We’ll start with questions about types of construction.

 


Do you do more commercial or residential work?


I do more residential than commercial but do both. Commercial tends to be less relational than residential. I’ve always felt like the relationship between the customer and contractor is more than only a business transaction. In order to serve the customer well I need to get to know them. This only happens if a relationship is built. Commercial projects normally are more transactional.


Do you do more renovations or new building projects?


I do mostly renovations and remodeling projects. New construction is less challenging than remodeling. New construction has less restraints than renovations do. It takes more out of the box thinking to take an already existing structure and change it into something different. I love the challenge of finding a solution to these projects.


Do you build specially for earthquakes?


No. In this part of the country this hasn’t even been a part of the discussion up until recently. It still isn’t a big issue for local construction projects. If buildings are built up to the current building codes for our area, past tremors won’t be any reason to change this. Our focus should be on high winds and tornados.


How many permits do you need to build a new house?


This depends on where the building project is located, some places don’t require any. Normally there is at least one “building permit” for each project. There are also different permits for different areas of the project, i.e. plumbing, electrical, HVAC, etc. that are sometimes required. All permitting is determined by the local jurisdiction, so it is important to find out what the regulations are for the location where you plan to build before you start.


Have you ever built a tiny house?


Your definition of a “tiny house” will depend on how I answer this question. I have built three very tiny houses. None of these were built for living in, not that someone couldn’t have. The three tiny houses were built for playhouses but were more than a normal playhouse. All of them were built with the same construction as a full-size house…just smaller…a lot smaller.


Okay, I was kidding myself when I thought I could get all ten answered this week.


There are still five more questions. I will answer the last five next week. The remaining questions are about my education and my experience.


Those young people asked a lot of questions.

Round Three of the Construction Questions

 

 

These Are About the Physical Process

 

This is the 3rd in the series of answering the questions asked by the Scout group. The first week we discussed the willingness of these young people to ask questions, unlike most adults. Last week we answered some basic construction questions.


As was the case last week, most often answers to questions need answers to other questions. With this being a one-sided conversation, I’ll answer these questions without having any specific answers to additional questions.


Do you hire the electrical/plumbing or does the owner?


This will vary on each project and will depend on the customer’s needs and goals, but as a general contractor I usually provide subcontractors. As an example of varying between projects, the owner of the project we’re currently working on is a retired electrician, so he’s doing the wiring on this project.


What equipment do you use most often?


I think the piece of equipment that I use the most often is a hammer. Some people would probably consider equipment as something motorized or powered. According to Collins dictionary, “Equipment consists of things which are for a particular purpose,” which would include a hammer. If you insist on only power tools being equipment, the second most used piece of equipment would be a cordless screw gun…there are you happy. 😊

 

Do you prefer to use more manual or electrical equipment?


Here we are again, manual vs. powered. I definitely “prefer” using electrical equipment or most any power tool over manual. Power tools make most tasks they’re used for easier. However, depending on the task being performed in some cases the manual tool is better suited and more productive. For example, you shouldn’t use a pneumatic nail gun as a hammer to drive a board into place.


How do you dig a foundation?


The size of the project will usually dictate how the foundation will be dug. If the project requires moving a large amount of dirt, for example a basement, then typically a large excavator (link) will be used. If it’s something smaller, we would most often use a mini excavator. (link) If the project is small enough or inaccessible to equipment then it could be dug by hand with a shovel.

 

 


These next three questions relate to the dangers of construction.

 


Where are the dangerous places on a construction site?

 

Everywhere on a construction site is dangerous. Sure, some are more dangerous than others, but heights are among the most dangerous. Falling is the number one cause of construction site injuries. Some other dangers on a construction site are; power saws, pneumatic tools, electricity, heavy equipment and cave ins of ditches.


How often do injuries happen?


This answer depends on how we want to define “injury”. Some people would consider a splinter an injury. For this answer I’m going to define injury as something requiring medical attention, i.e. stiches, broken bones, requiring a doctor’s attention, etc. During my forty plus years in construction I have personally witnessed or actually been injured 8 – 10 times. If I take that number of times over the forty years, that’s .000137%. As dangerous as construction sites are and as much construction that’s done, surprisingly it’s not as often as one might expect. The key is working smart and safe.


Have you ever broken a hard hat?


This is one of the most interesting questions asked and easiest to answer. I can answer it with a resounding NO. This is not to say they can’t be broken, but it takes a lot to break one.

 


There are still several questions left to answer so next week we’ll look at types and specialty forms of construction.


If these questions raise additional questions for you, send them to us in the comments below and well answer them.

 

What Are the Best Construction Questions?

Neon question mark written in the dark

 

 

The Ones That Are Actually Asked

 

 

Last week I shared the list of questions asked by a group of Scouts. This week I’ll begin to answer them.


As I pointed out last week, due to the number of questions I’m going to divide them into different topics to keep the posts from getting too long. This week I’ll start by answering some basic construction questions. Keep in mind that asking and answering questions is communication and communication is a two-way process. This means that before I can answer questions fully and accurately, I need some questions answered.

 


How much does building a new house cost?


This is the most common first question. It only makes sense; cost is a critical part of deciding whether to build. It’s also one of the most difficult to answer, especially when asked without any specifics.


Here are some of the questions that need answered to determine a price:

  • Where will it be located? – location effects things like utilities, sewer, lot preparation, zoning, permitting, etc.
  • How big? – more square feet costs more.
  • How many levels? – stacked is typically less expensive per square foot.
  • Type of foundation? – slab, crawl space or basement.
  • How high are the ceilings? – higher is more expensive.
  • What style of roof? – more complicated costs more.
  • How many windows? – more windows cost more.
  • Quality of materials and finishes? – there’s a wide variation in quality which translates into a wide variety of price, i.e. cabinets, countertops, flooring, light fixtures, plumbing fixtures, etc.

 

This is some of the things that need to be determined before getting an accurate price.


As a vague answer to a vague question, in the middle part of the US where we do construction, you can figure an average home to cost $110.00 to $150.00 per square foot of living space.

 


How long does it take to build a new house?


The answer to this question will be directly connected to the answers of the last question. Size, design, level of finish, etc. will all effect the length of time to build a new house. An average 2000 square foot home will take 6 – 9 months.

 

 


How much wood does a new house take?


Once again, the answer is going to depend on specifics of the house. Let’s just answer the question using the average 2000 square foot house that we have been using. Let’s assume that it’s going to have wood floor joists, sub-floor, wall studs, wall boxing, ceiling joists, rafters, roof sheathing, siding, windows, doors, cabinets, etc. All these things combined will be around 40 pounds per square foot. That means the wood used in a 2000 square foot house will weigh around 80,000 pounds, or 40 tons.

 


How much steel goes into a house?


There are some cases where houses are framed using steel, but typically that’s not very common. There are some steel things commonly used, like nails, screws, joist hangers, reinforcing steel in concrete, etc. Sometimes steel beams and posts are used for supporting heavier loads and wider spans. In a typical wood framed house, it takes around 10 pounds of steel reinforcing, fasteners and misc. per square foot to build. This means that our 2000 square foot wood framed home would have around 20,000 pounds or 10 tons.

 


Next week we’ll answer questions about the construction process. If you have any construction questions you would like answered, asked them in the comments below.

 

 

The Conclusion of The Construction Proposal Is the Contract

Two men in suits shaking hands

 

 

 

Putting A Period at The End of The Proposal Communication

 

The discussion of “Building a Better Proposal” began with the problems that arise from poor communication. We talked about this being the responsibility of the contractor and some of the reasons this is a problem.


Over the last several weeks we laid out the “Blueprint for Building a Better Proposal” going over the different parts of the system, an explanation of the system, gathering of information, writing a scope of work, putting a price to the project and finally how to put all of the pieces together into a proposal ready to present to the customer.

 

Once you have a signed Proposal, conclude with a Contract.

 

 

 

 


The Contract completes the Proposal process and covers things beyond construction. Things like funding, additional documents, property boundaries, time within which the project will be started and terms and conditions.

  • Construction Funds – This isn’t something that is relevant to every project but will be to some. If it is, the information would be included in this section of the contract.

 

  • Description of the Work – A complete and full Scope of Work could be included here but not needed if the customer has been presented a Proposal. If so then a brief description of the project can be inserted and a reference to the specific Proposal and any other additional documentation, i.e. blueprints, drawings, spec sheets, governing body documents, etc.

 

  • Property Lines – This is another category that isn’t relevant to every project but certainly can be. If working inside of city limits, normally there are set back requirements and easements, this makes it critical to know where the property boundaries are or to have a licensed surveyor make this determination.

 

  • Payment – Like the description of work above, this should be in the Proposal. If no Proposal was given to the customer, then this should be specified here. If a Proposal was given repeat it again here.

 

  • Time for the Completion of Work – The duration of the work from start to finish is typically expressed in the Proposal. Due to the varying number of Proposals prepared and presented to customers, there’s no way of knowing what order they will be signed and returned. With the Proposal being signed and returned prior to the preparation of the Contract, the start date of the project can be determined and specified here.

 

  • Terms and Conditions – An in-depth explanation of specifications, descriptions, expectations, insurance, warranty, media permissions, etc. These will be specific to your company, type of work and location.


I would recommend that to have a legal expert or attorney review your Proposal and Contract templates as well as any other agreement document to make sure they meet your specific needs.


 

We’ve now gone through the process of meeting with a customer all the way to getting a signed Contract. Now it’s time to do the “construction” part of the project.

 


Communication will be needed in this part too.


Just because you have a signed Proposal and Contract don’t think the communication is done. In most construction project changes occur. These changes need to be treated like separate, sub-projects of the original with Change Orders.


This is a topic of discussion for a different day and one that we’ll have in the future.


If you know anyone in a construction trade or related industry that you think would benefit from learning the “Blueprint for Building a Better Proposal” share a link to this Weekly Solution or the to the Solution Building website. 

 

 

Don’t forget to check back in the next couple of weeks for the upcoming announcement.