Knowledge is everything.
That’s a quote we hear all the time. And it’s very true. That quote becomes even truer when it comes to bidding a roofing job. Your bid on a roofing job will most likely determine if you get the job or not. Your ability to estimate the cost and margin of profit on the roofing job, and then bid the job with confidence is very important to any roofing contractor. Knowing how to estimate and bid the roofing job takes a little educating but is well worth the time and effort that you invest into it.
In presenting your bid on any roofing job, the bid should be uncluttered as to what the customer can expect from you as the contractor. The terms should be clear and It should be easy to read explaining what you are offering and at what cost. The customer should feel comfortable that they are able to see clearly what is in writing with no small print or hidden costs.
The first thing you will want to know is, what is this job going to cost me? Until you know what the cost of the job is, you cannot determine what the profit will be. How do you know what the cost is? You will have to figure the cost of the material and labor that will be paid out.
First you need to figure how much roofing material you need. How many squares of shingles? How many rolls of felt? How many boxes of nails? You will need to figure miscellaneous items like flashing, drip edge, vent caps, valley metal and so on. There are a number of ways to determine how many squares of shingles you will need. You can measure from the ground using a formula plus pitch method, by getting on the roof and measuring, and by using GPS a satellite system company such as Eagleview. Whichever method you use it should give you an accurate count on the material needed. Figure the amount of material times the cost of each item and it will give you the cost of the material.
Next figure your labor. Will you pay by the square for installation or by the hour? The labor should be determined by the going rate for installation.
Next, figure in your overhead. This will help take care of any details that may have been overlooked such as equipment costs, delivery costs, unforeseen expenses, etc.
Now determine how much profit you want to make. How much is too much profit? Well, that’s up to you. If you want to be competitive you might want to back off of your bid just a little to give you a better opportunity of getting the job. You might have a percentage of profit you want to make on every job you do. Or, you may want to do less volume for a greater amount of profit. It’s all up to you.
So, go ahead and write that estimate because you have obtained the knowledge you need to bid with confidence.