Estimating software for builders: You get what you pay for
“Buy cheap, buy twice.” “Cheap and cheerful.” I’m sure you can think of other sayings about value for money. We all like a bargain but equally we know that things are usually cheap for a reason.
You wouldn’t choose the cheapest tools for your trade. Buying cheap usually results in more expense in the long run as you have to replace or upgrade the item. And it’s the same story when it comes to the tool you use for estimating. Think bigger picture. The estimating software or service you choose plays a part in whether you win or lose a job. It’ll have an impact on the profit you make. You want it to work for you as your business grows. Surely then it’s a no-brainer to go for the best, not the cheapest.
These are the features quality builders’ estimating software will offer you:
PROFESSIONAL-LOOKING, BUSINESS-WINNING QUOTES
A cheap estimating software product or service isn’t worth much if you don’t win the work with it! A smart looking, professional quote can help you secure the high-end jobs you’re after. HBXL, developers of market-leader EstimatorXpress, found that estimates produced with the software increase the user’s win rate by 230%. Clearly the quality of the quote is central to winning customers’ confidence. Give yourself a head-start with professional automated quotes generated by software such as EstimatorXpress or BuildingWorks.
A VARIETY OF REPORTS TO HELP YOU STAY ON TOP OF COSTS
Estimating software which also produces a range of cost and management reports will save you time and help protect your profits. Look for software which generates reports automatically from your completed estimate such as EstimatorXpress and BuildingWorks. Both these software packages produce cost breakdowns, profit forecasts, cashflow reports, material order schedules, labour schedules and more. Being able to drill down into the costs will help you keep tabs on income and expenditure.
LATEST MATERIAL PRICES DIRECTLY INTO YOUR SOFTWARE
An important factor to consider when choosing building estimating software is where the material prices are coming from. With construction cost inflation tracking at 20% per year, if you quote with out-of-date prices, your profit will disappear in a puff of smoke. The gold standard is software that gives you regular material price updates directly into your software. EstimatorXpress prices are updated monthly while BuildingWorks prices are updated once a quarter.
WASTAGE, OVERHEADS, INFLATION AND PROFIT CALCULATORS
Does the software you’re looking at add wastage, company overheads and inflation onto your estimates? This should be a non-negotiable. Even if your material prices are accurate, your estimate will only make you money if it takes account of these costs. And of course, you want to be able to set your profit markup at the desired rate. BuildingWorks and EstimatorXpress can do all of this for you.
THE BOTTOM LINE
The best builders’ estimating software will pay for itself time and time again. With an accurate estimate and a raft of information at your fingertips to help you manage the project effectively, the software could cover its costs with the first project you win. Look around for the best solution for your needs. And bear in mind that it might not be the cheapest.