Loading…
15
Why does nobody talk about the real difference between unit price bids and lump sum on small jobs
Everyone in my local CM circle pushes lump sum contracts for anything under $500k, but I ran a 40,000 sq ft tenant improvement in Charlotte last spring with unit price and it saved the owner about $62,000. The lump sum bidders padded their numbers because the drawings were only 60 percent done, and the unit price guys just billed what they actually moved. The lump sum crowd always says unit price means no price certainty, but I would rather have honest quantities than a padded fixed number that turns into 30 change orders. Anyone else tracking their change order totals on lump sum versus unit price jobs to see if the pattern holds?
0 comments
Log in to join the discussion
Log In0 Comments
No comments yet
Be the first to share your thoughts on this discussion.