Quoting for maintenance contracts

[Jay]

I have recently be asked to quote for a 3 year maintenance contract. it involves cutting all the hedges some twice a year and the tree work for the 3 years.

 

I have only ever quoted for individual jobs before and nothing like this. Has anyone got any tips or advice on what to do and what i need to think of. I have heard that you should include inflation at about 10% each year is this correct.

[kevwrenn]

In this situation, i would work out what needs to be done, and when, then treat all as seperate jobs for the purpose of pricing, taking into account inflation as you suggest, although 10% may be a little steep, it will cover what you need.

[skyhuck]

I would tend to feel the inflation is out weighed by the fact that they are committing to you for some time which means you are able to plan better and you will not need to advertise as much for new work.

[Quickthorn]

It might be worth working out what your inflation is. RPI is something like 2%, but that's bollards as far as I'm concerned..my bills are going up much more than that. If there's a lot of travel, I'd be assuming that diesel will carry on going up at the same rate each year, and factor that in..I'm sure fuel's going up at least 10% p.a.

[Yorkshireman]

As anything that is beyond your immediate scope to predict, build in a clause to your bid that allows your 'price to be based upon ''' however if exceeded an allowance/increment will be chargeable etc etc

just cover your arse !

you'll know how it will fit into your schedule & anything that is a definate earner, especially in the forecasted economic slowdown should not be lost over a few quid on maybes & what if's

imo