Estimating Software: Would you rather do five projects at $5000 or one at $25000?
As a business development consultant to the HVAC/R industry, I ask my clients, "Would you rather do five small jobs or one large project for the same price?" Yes, the profit total would be the same. Before you automatically say, "Both!" Think about it before you answer.
Is your company geared towards doing more large projects or small projects? That last question may now get you thinking.
If you won a bid to do a major project that would keep four employees busy for six months, could it delay future projects or cash flow? What if one of those employees left the company, could you add another to take their place and not put a burden on starting or completing another project?
Companies with twenty plus field personnel could easily remove people from other duties to meet a project's deadline. What if you only have eight field personnel? If you need to use half of your field workforce to do one project lasting more than two to three months of continuous daily work, you may want to consider doing smaller projects instead.
I have consulted with companies that have been quite successful doing more smaller projects than large projects. They have increased their buying power with certain suppliers and vendors. They keep their employees busy year round and have a continuous cash flow.
I have also consulted with companies that do only large projects. They have invested in the tools, vehicles and installation equipment to professionally complete large mechanical jobs. Even though each is different in the amount of work they take on, both are respected in their industry for being able to complete a professional project in a timely manner. This factor alone can produce more projects in the future.
Another factor to consider is post-project liabilities. This includes warranties on equipment, materials and labor. Is your service department experienced in commercial equipment or computerized controls? Do they have the tools and diagnostic equipment to properly service the system? How you stand by your work after a project is just as important as the installation.
The last factor is investment. To take on major projects would mean an investment in installation equipment, tools and even vehicles. There is a bigger expenditure in doing large projects: labor. For large projects, most payments are divided in schedules. Can you afford to "pay into" the project before you actually receive a payment? Employees and suppliers have to be paid on time. If your company runs smoother by receiving a constant cash flow, small projects could be a key element for growth. If you are able to pay for labor, overhead and expenses while completing a project, larger projects should be considered.
I know that most of you will say you could do both large and small projects, but which one could you do more of and keep within your business plan for reputation and growth. In planning your business growth and forecasting future revenues, it's advantageous to break down your strengths and weaknesses by dissecting these type of scenarios.
A strategic plan is just as important when determining how your retained earnings are used for future growth. One of your plan objectives should be how to maximize these earnings.
Where To Find Project Estimating Software Online
|COBRA:COBRA contractor estimating software knows that fast and flexible is the name of the estimating game. Our estimation software has what you need for quick, accurate estimates!|
|EasyQuote:EasyQuote HVAC | Job Estimation Software for HVAC Companies | HVAC Software Solutions | HVAC Quotation Software Details & Features | HVAC Estimating HVAC Software|
|Esticom:Cloud-Based HVAC Estimating & Takeoff Software | Learn how Esticom can streamline and simplify your HVAC estimating & takeoffs. Get up and running in minutes with our pre-built database, proven & tested by HVAC contractors.|
|Estimator360:Estimator360 is cloud-based Estimating Software and Construction Project Management for Builders with patent-pending technology offers unlimited estimates, unlimited projects, and a 14 day Free Trial with no restrictions or obligations.|
|FastEst:FastDUCT - HVAC Estimating Software | Estimating and takeoff software for commercial sheet metal and HVAC contractors.|
|JobFLEX:JobFLEX is a premiere estimating & invoicing app for construction companies and contractors using Android devices. Create invoices and estimates on the go!|
|On Center:MEP estimating software calculates projects with precision and speed. Measure fittings, add materials and adjust prices with our mechanical and electrical estimating software.|
|PlanSwift:HVAC Estimating Software | PlanSwift | Make quick and error-free hvac estimates with our #1 hvac estimating software. Try a risk free 14 day trial and see how our hvac estimating software can help.|
|PrebuiltML:Consolidate information, create accurate materials list and create detailed estimates for your next HVAC project with HVAC takeoff software from PrebuiltML. Contact us today for more information about HVAC estimating software.|
|PriceDuct:PriceDuct | Ductwork Estimating | Screen Shots and Tutorials|
|ProEst:Mechanical Estimating Software | Mechanical Takeoff Software | Offering powerful mechanical estimating software that's designed for contractors in the piping, plumbing & HVAC trades. Giving you the flexibility you need!|
|Professional Estimating Systems:Estimating Software for Sheet Metal and Piping can be used to estimate the cost of installing HVAC. HVAC Sheet metal estimating software and Piping estimating software is an easy to use yet accurate computer program for calculating Cost of Material and Labor for HVAC Contractors. We offer affordable, easy, simple, accurate and free HVAC Estimating Software. |
|Quote Software:QuoteSoft – Estimating Software for Piping, Plumbing and Ductwork|
|Rapid Software:Our HVAC and duct estimating software saves hours per bid. HVAC Estimating Software Free Downloads – Ductwork Calculator|
|SimpleHVAC Software:SimpleHVAC | Commercial Estimating software for sheet metal and HVAC contractors.|
|Stack:Construction Takeoff and Estimating Software | Construction takeoff and estimating software created by contractors for contractors. Upload your plans today and get started for free on any MAC or PC.|
|Trimble:See an overview of our contractor software, hardware & services for the HVAC industry. Learn more about Trimble MEP & explore our solutions. | HVAC Contractor Software & Hardware Solutions | Trimble MEP|
|Turtle Creek Software:HVAC Estimating Unit Costs Directory | Estimating Software | A directory of HVAC unit pricing for Goldenseal estimating software.|
|Wendes:HVAC Piping Estimating Software | Plumbing Estimating | Wendes.com | HVAC Sheet Metal Estimating | HVAC Piping Estimating | Plumbing Estimating Software | Supplier Net Pricing and Largest labor and material Database available. | HVAC Piping, Plumbing Estimating Software, Plumbing Estimating with National Material Pricing, Harrison Pricing, Supplier Net Pricing and Largest labor and material Database available.|
|ZEN Industries:HVAC Estimating | HVAC Quotes | QuoteExpress | QuickPen AutoBid | Streamlined HVAC Estimating from ZEN M.E.P. Quote more HVAC jobs in less time and less cost.|