"Too much profit and you won't win the project. Too little and you've left money on the table."
You are about to submit your construction project quotation (tender, bid, or price) and you have to decide how much profit to add to your price. Add too much and your price may become too expensive and won't be considered by the client. Add too little and you could be much cheaper than your competitors. So what is the right profit?
What impact the profit you add on construction projects
The amount depends on a number of factors including:
Adding the right amount of profit is one of the most important decisions in the project pricing process.
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The opinions expressed in the attached articles are those of the writer. It should be noted that projects are varied and different laws and restrictions apply which depend on the location of the contractor and the project. It's important that the reader uses the supplied information taking cognisance of their particular circumstances. The writer assumes no responsibility or liability for any loss of any kind arising from the reader using the information or advice contained herein.
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