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 October 2006 |
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Q. ABC contractor is notoriously high in their bids. How on earth did they come up with a competitive bid?
Q. Contractors tell us that they are "tight" on their bid. How do they know? A. Most contractor's know their 'break even' direct cost percentage and may adjust their bid if they have successfully reduced their indirect costs to the point where they feel comfortable with their bid in terms of their expected net profit results. Q. Contractor XYZ is always low and always does good work. Everyone says they are losing their shirt on the job, yet they always show up for work. Why is this the case?
Q. What is a fair time to expect a bid response? A. Ten to fourteen days allows adequate time for most contractors to accurately measure and prepare their landscape maintenance quote. If the property is of smaller size and complicity a fair response time might be one week. Have more questions about landscape maintenance or janitorial service contract bidding? Contact OLM at info@olminc.com and we will be happy to answer your questions. Be sure to ask about OLM's Performance Payment™ management system and how it can work for you!
Some Special Folks
The Preserve at Fieldstone, Jim Cowart Residential, LLC (GA) - since 2005 Country Oaks Golf Course (GA) - since 2002 HealthPark (FL) - since 1993 Avion, Trammell Crow (VA) - since 2000 Stonebridge Ranch (TX) - since 1991 Bluegrass (GA) - since 1999 If you would like to see your property and/or company listed in The Grapevine just send a note to newsletter@olminc.com. Many thanks from the staff of OLM!
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With
budget season in full gear many properties are bidding out their
landscape maintenance and/or janitorial service contracts. The questions
below were compiled with the landscape maintenance bid in mind but
most can apply to janitorial services contracts as well. OLM's most
recent hire, Tom Rohrer, has over 30 years experience working on
the contracting side of the industry and we put him to the test.
A.
The additional job may improve the contractor's geographic density
in a particular area, thus lowering their overall cost of operations
by reducing their overhead or indirect expense.
A.
Again, many contractors perform significant analysis of both their
direct and indirect costs and thus have the ability to bid properties
at what appears to be a lower cost to other contractors. Also, some
contractors simply operate more efficiently than others, which accounts
for their lower bid. Companies also operate with different net profit
expectations.
Each
newsletter we try to mention a few of OLM's clients that we are
proud to work with. Some are fairly new, some have been partnering
with OLM for many years. From the office parks to the golf courses,
from the CDD's and HOA's to the retail locations and everyone in
between, we appreciate each and every one!
Whether
they are "official" or not, this partial list of holidays
during October and November surely has something for almost
everyone to celebrate. Some are open for interpretation (since
we didn't research them that far) such as October 22, National
Nut Day. Is that for the edible legume or the guy in the next
cubicle? Regardless, these days may not be cause for celebration
for everyone but someone somewhere was thinking, hey, we need
a day for this!
October
3 - Virus Appreciation Day (is this for the mumps or for
your computer?)
November
17 - Take a Hike Day And a personal favorite:
