Here are the main five stages of producing an estimate.
The estimator team must understand the project’s scope, including the deliverables, crucial requirements, and any specific detail that may impact the estimating process.
The second stage involves taking off quantities from the drawings to calculate the exact number of equipment, labor, and materials required.
In the next stage, estimators must determine the accurate costs of labor, equipment, and materials, including any indirect costs, like taxes, permits, and more.
Above all, profit margins and overhead must also be added to the estimate to encompass the management and administrative costs of a contractor.
The final estimate report must be reviewed and adjusted as required before being delivered to the client. However, an accurate and well-prepared estimate can help end up with a profitable and successful construction project.