What to consider when choosing builder estimating software

1. Is it suitable for my building firm?

The first and most obvious consideration is whether the estimating software is suitable for the type of work you carry out. For example, do you focus on kitchen fitting? Or are you a general builder undertaking extensions and loft conversions?

Some estimating software is aimed at individual trades whereas others cater for small to medium sized building firms whose bread and butter is extensions, renovations or new builds. Ensure the software you choose is suitable for the types of projects you undertake.

Do bear in mind that the software will need to grow with your business. You may focus on joinery today, but perhaps you hope to expand into home extensions in the future. Choose an estimating solution which will cater for where you want to be – and you’ll avoid having to go through this process again in a year or two.  

2. What sort of outputs does it produce?

Think about what you need the software to produce for you in addition to the estimate? A quote cover letter? A detailed, professional quotation to impress the customer? Perhaps you need NRM output for tendering (formally SMM7/Bill of Quantities)? What are you looking for in terms of reporting? Profit forecasts? Cashflow reports? Material and labour schedules?

3. Is it tailored to the UK market?

When you Google “estimating software for builders”, your search may bring up estimating software products from the US, Canada, Australia… However, you’re better off choosing a product which meets UK building regs and uses English spelling, terminology and currency. For example, the US spelling of “labor” rather than “labour” in your quotes may look like a mistake to your client and software which refers to “bids” not “quotations” or “estimates” may be confusing for everyone. Furthermore, software designed for other parts of the world may use dollars or Euros rather than pounds and may not use metric measurements. And that’s not to mention date formats! It’s a potential nightmare!

4. Where do the material prices come from?

During this time of volatility in material costs, you need a programme which uses regularly updated, UK-based material prices. Look for software which is updated at least once a quarter, in not once a month. Consider whether the software is limited to products from one builders’ merchant. Would this be a limitation or an advantage?

5. Is it user-friendly?

Realistically, you will need to invest some time to get to grips with your new software. However, it shouldn’t be a mammoth effort. When looking at the software options, think about how much learning is involved. We always recommend putting a trial job – perhaps a recent project – through the software to help you understand how the software works and where the costs are coming from. The big caveat here is that you should do this in a non-pressurised situation – i.e. not when you’re having to get a real quote out to a customer!

You mustn’t be surprised if the project costs, calculated with the software, are higher than you expect. Usually this is because the price you’re carrying around in your head doesn’t take into account months of material price rises. The estimate may also include aspects you haven’t previously added to your estimates such as wastage, inflation and your company overheads. So don’t be deterred if the price is more expensive. In all probability, it’s a more accurate reflection of the project costs which indicates that you’ve been under-quoting and possibly not making the profits you deserve.

6. Will it save me time?

It probably goes without saying that your first trial job may take longer than you’d like. It may take a couple of jobs to get up to speed but, after you’ve completed a few jobs, the software should deliver some impressive time savings. If you choose software with a high level of automation, such as HBXL’s EstimatorXpress, which gives you pre-loaded estimate templates, you’ll see the time savings more quickly.

And, don’t forget, the software should continue to deliver. The estimate is just the beginning. The auto-written customer quote, the calculated build programme, the automatic material schedules, plant task lists and profit forecasts, will all bring massive time savings.

7. Is the company well-regarded?

Do your research on the company behind the software. Has the software house been around for a while? What do their customers say? Check out Trustpilot and Facebook reviews to learn more. Have they won any industry awards or have any partnerships which enhance their reputation? Have they been reviewed by magazines?

8. Is the company forward-thinking?

The best software firms have a continuous programme of software development to keep on top of the latest technology and changes in the construction industry (think changes to legislation, building regulations, construction techniques and so on). Do they regularly issue bug fixes? Do they update their software?

9. Is it good value for money?

That brings us on to costs. Does the software represent value for money? Bear in mind that the price you pay covers not only the software, but also improvements, updates and technical support. The best value software may not be the cheapest. The impact the software will have on your time and profits comes into the equation here. The package which brings you the best time and money savings may be more expensive, but may represent better value. It’s worth noting that some companies offer software on an annual subscription, enabling you to reduce the upfront costs.

10. What support do they offer?

Finally, before purchasing, find out what you get in terms of support. Check that the software company offers phone support as well as email and live chat. Establish whether the technical support team can remotely log in to resolve any technical issues, if required. You may be able to read their support policy on their website. If they don’t have one, it may be a red flag that they don’t take their support seriously.