Time Limited Quotations For Maintenance Contractors

When tendering for maintenance projects such as hedge cutting, you can only really  quote for the project as you see it on the day – extrapolating you price for the time you expect to carry out the works.  When you visit a site and go through the whole interview process (which is an accurate description of the intercourse between a contractor and potential customer), each side interviews the other, hopefully coming to the conclusion that you could work together – provided the quotation figures are acceptable.

There should be several parts to a final quotation, including the specification, working method statement, (possibly) breakdown of the figures – certainly a total or menu of figures for acceptance by the client. Other documents that may be tabled and included are insurance policy details, BACS and other financial information and a record of any plans and drawings, including reference numbers and dates.

These will be familiar to those readers who undertake landscape or garden build projects, but such documentation is equally important to general maintenance contractors. Whilst the facts and information will be somewhat different to (say) a new build garden, with lots of products and processes set out in detail, those who undertake maintenance or clearance works, including mowing and hedge cutting, also need to protect themselves against future problems and disputes as part of the tender process.

It is perhaps worth mentioning that the document process is not all one way. The client should table and supply any information germane to the project. These may include Planning Permissions and any titles, deeds or permits to enter neighbouring land, or restrictions on working hours/noise abatement clauses. They should also include any plans of the site, showing drainage runs, electricity and oil delivery pipes or other underground services. These documents should be tabled and shown in the quotation package.

A form of words must be included in your quotation, and highlighted as an important element of the offer, drawing attention to a Time Limitation Clause. In the case of construction projects, these may be as simple as ‘Prices are based on rates current at the time of quotation, and may be subject to review. This quotation is open for acceptance for three months from (date) and prices will be held for that period.’ In other words; a Fixed Price Quotation. It is easily understood by both parties, and the inclusion of a time limited clause will concentrate the clients mind in accepting the quote!

However, this formula is not so straightforward when you are a maintenance contractor. Information gathered at the interview may be limited to some simple facts. Take for example, a job requiring the cutting of a fifty foot long x eight foot high x eight foot wide hedge, plus cutting the grass in a meadow, and (say) cleaning out an overgrown ditch. Jobs that only need a simple description, with perhaps a price against each one, and a global figure for all three projects if carried out at the same time. The prices shown will be those as assessed on the day of the visit. Taking into consideration that you are unable to carry the works out for a month, you will have costed the works bearing that fact in your mind.

Unless you are very specific in your wording, stating that your quotation is open for acceptance within one month from date of issue, and that you require four weeks’ notice before you can carry out the work, the salient works may have grown significantly more than you imagined, and therefore the job is much larger than you anticipated and quoted for.

In this case, if, in the meantime, the hedge had grown to twice the height and thickness (three sides equals three times the volume of waste anticipated), the meadow required three cuts to bring it under control, and the ditch was weed infested and full of water. In simple terms – three times the amount of work quoted for, plus the additional difficulty of working in a water-filled site.

And yet, as far as the customer is concerned, you gave a quote, you know that grass and hedges grow, and that ditches hold water – why are you now complaining about underestimating the work? They may agree to pay a bit more money, as they were a little late in replying, finding all sorts of reasons for the delay, and would never have accepted your quote if they had of known it would be that expensive! Unfortunately, this scenario is all too familiar, and this example project is typical of our industry.

I appreciate that potential clients may be reluctant to read too much paperwork, and if you over specify and seemingly complicate a simple, straightforward job they will think you are being too pedantic, but a form of words that clearly state that your quotation is based on a certain amount of work, carried out in a specific manner (e.g. rubbish to left/removed on/off site) and within a certain timeframe simply due to the fact that the site will alter materially as the weeks go by, will be accepted and understood by  any reasonable person.

Alternatively, if you have certain jobs that are impossible to assess due to unknown factors, e.g. amount of debris/rubbish/wire fencing in the hedge/on the ground, then consider using a Variation Order to protect yourself when tendering.

Alan Sargent

www.landscapelibrary.co.uk