Time and Materials:
Time and materials work is billed out for
work completed on your project. It is generally used in our small projects
division. Drive time to and from the job is not billed to the client and is
figured into the overhead cost. Drive time to pick up materials for your project
will be billed. The hourly rate is $85.00 with a two hour minimum of $170.00.
Any materials used on your project will be billed at the same time.
Cost Plus Philosophy:
Our role
is to offer options to our clients—to educate them about the quality levels and
associated prices that are available.
We use the Cost Plus method of
pricing--a growing trend in the industry--charging our costs plus a markup.
Materials, subcontracts, and our labor billing rates are marked up a percentage
to cover overhead and profit.
- Overhead costs are day to day
business expenses which are not directly attributable to particular jobs.
Overhead includes, insurance, office expenses, rent, utilities, vehicles and
other cost of business items.
- Profit is determined before taxes
and company reinvestment expense.
All invoices and timecards are available
for inspection--all our cards are on the table. This allows us to share the
decisions on materials and subcontractors with our clients--for us to work
together as a team.
Cost Plus is used on our projects
over $5,000. All proposals from the subs and suppliers are made available to the
client. All pricing is based on our cost; in house labor, sub contractors and
suppliers. We then apply a 30% mark up to those costs to cover our overhead (22%)
and an 8% profit. The in house labor is broken down as follows:
$45.00 per hour for
Laborers
$50.00 per hour for Carpenters
$55.00 per hour for a Certified
Lead Carpenter
$50.00 per hour for Office Managers time spent on
Billing/Invoicing and time/material tracking
$60.00 per hour for a Production
Manager time spent on material specification, product research,
client/production meetings and permitting information.
$75.00 per hour for
Owner/Designer
The cost plus billing system is
spelled out in detail in our cost plus contract. For a copy of the full contract
please contact our office via email, fax or phone.
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