If you are a contract builder, you can decide on allowances and all allowances must be recorded in writing. It is very important that you have allowances for all those items that you do not know the price of until the product is purchased or the work is completed. It is also very important that you are aware of all supplements.
Give your client a rough idea of what a $4,000 classification entails. Show them what $350 looks like for 1,000 bricks. Show them what $1,000 worth of lighting and $3,000 plumbing looks like. And show them what a $20 rug looks and feels like, to name a few.
It is very, very important that you make all of these allowances clear both verbally and visually. What you don’t want is for a customer to expect $3,000 worth of lighting when you only allotted $500 for lighting in the contract. They will not be happy and they will think that you are trying to throw dust in their eyes. Then you have problems.
I know a very good contract builder and he spends a lot of time with clients upfront, going to lighting stores, carpet stores and all those places so the client really knows what the allowance will cover.
This can be very time consuming and annoying, but in the end it will be another important step in ensuring a happy and satisfied customer.
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