# Lost my first bid to a low baller!



## KAP (Feb 19, 2011)

CJ21 said:


> I got a change to bid on a painting and rotten wood replacement job on lawn service client, I bid $550 for labor and 200 bucks for materials then her neighbor tell her he know someone can do the work for $550 and plus the neighbor cut her lawn for free. I can I've feel bad because I bidded high and I dont think I sold my services well enough.


Were we all to have a 100% close ratio... :thumbsup:


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## CHRenewal (Aug 12, 2012)

ohiohomedoctor said:


> I get about 10% of the jobs I bid. When I started I used to take pride in the fact that I sold nearly every job. That bravado quickly fizzled as I began to learn what the true cost of business is. I get the feedback that I am between 40-80% higher than most of the other bidders. I tell the potential clients that I am 300% better than they are so its really a great value.


I'm told I am around 30-40% higher, but I am going to start using the 300% better than them so it's a great VALUE for you!!:thumbsup:


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## Spike7 (May 18, 2012)

Rich D. said:


> If your getting most of your jobs it means you dont charge enough. Raise your prices 10% and see what happends. If you keep getting work raise it again. Keep doing this until you find a happy medium.
> 
> You dont need to mark up materials but you can.
> 
> ...


thanks for that
i`m only 54 years old , and have done this " only "about 26 years licensed .and still not happy with my bottom line profit.

i do try to give an outside price , and then keep time on it , and if it goes over , i charge accordingly.it is my fault , i eat it , if there are changes , i do that "t.and m."
most clients are referred and trust me , and i don`t take advantage of that.
i show receipts 
but i`m starting to think i should charge some profit on materials, and maybe up my labor cost.


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## Tech Dawg (Dec 13, 2010)

CJ21 said:


> I got a change to bid on a painting and rotten wood replacement job on lawn service client, I bid $550 for labor and 200 bucks for materials then her neighbor tell her he know someone can do the work for $550 and plus the neighbor cut her lawn for free. I can I've feel bad because I bidded high and I dont think I sold my services well enough.


I'll just say that you're off to a good start :thumbup: When I first started it was both guns blazin and the first 15 leads were sold... So the first rejection was a big time stinger. At that time, I was let down and wished I would've faced that earlier. 
Now I just take it how it comes because you can't win them all so keep your head up :rockon:


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## Rich D. (Oct 14, 2011)

Spike7 said:


> i show receipts
> but i`m starting to think i should charge some profit on materials, and maybe up my labor cost.


The only receipt you have to show is that final invoice you hand your customer. That is there receipt.

I have people asking me all the time for the material receipts.. there for my tax purposes not for the customers.


First try to up labor by 10%. It really is not a big difference but it helps. If you bill out at lets say for example 45$ an hour thats 36$ extra a day.

And figure in a hour or 2 into the job to pick up materials. That will help cover your time and gas with that...

Good lucky buddy


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## RobertCDF (Aug 18, 2005)

Don't ever tell people how you're better that's just stupid. Show them how you're better, and that includes telling them. Look at it this way you can't just respond with "Well, I'm 300% better than those guys" you respond with "Here is my license, my insurance certificate, my workmans comp certificate, a list of a dozen neighbors that would be thrilled to show off their project, my portfolio of similar projects." That is showing them how you are 300% better than the others. 

If I have a real good feeling about someone after meeting them I'll invite them to a current project or a recent project for them to come see, if I can get them on a project I can usually close the deal. The most recent one came to a jobsite and signed a contract 20% higher than their budget.


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## Spike7 (May 18, 2012)

RobertCDF said:


> Don't ever tell people how you're better that's just stupid. Show them how you're better, and that includes telling them. Look at it this way you can't just respond with "Well, I'm 300% better than those guys" you respond with "Here is my license, my insurance certificate, my workmans comp certificate, a list of a dozen neighbors that would be thrilled to show off their project, my portfolio of similar projects." That is showing them how you are 300% better than the others.
> 
> If I have a real good feeling about someone after meeting them I'll invite them to a current project or a recent project for them to come see, if I can get them on a project I can usually close the deal. The most recent one came to a jobsite and signed a contract 20% higher than their budget.


THIS I TOTALLY AGREE WITH
i`ve done the same , and brought future clients to past clients homes to show my work if possible.

i make a point , when i`m in a new possible clients home and they say " i want the bathroom re-done"
on bigger potential projects , i`ll have all the subs meet me there to bid , on the same agreed upon day. , and let the client meet them, and ask what ever they need.

i start off right away with how we would go about it step by step , so they know i have done this before ,let them know even the little things , like how we`re are going to get trash out how we are going to keep their house clean throgh the project , how we are going to contain our dust( that is usually their biggest worry)
let them know all your subs are licensed and insured
that electric will be done by an " electrician" same with plumbing .
let them know " once we start , we will be there every day till we finish , and not job-hop.
you don`t have to "b.s." at all . just know your product , and let them know you know it by your actions


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## Calidecks (Nov 19, 2011)

I tell people that cheaper is not always better. I had one guy try to get me to go down in price because the other guy was lower, I told him I'm not going to lose money just because he is. I usually get about 4 out of ten bids and this is just one of those I might not get.

Also I might add I have always had a motto that I live by. And that is if the customer isn't crying just a tad over the price then I'm probably just about right. In other words if you give them a price they shouldn't be ecstatic over it.


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## Joasis (Mar 28, 2006)

I will show material receipts as needed, if a cost plus job...doesn't matter to me, since the agreement is cost plus, then they know up front a percentage is charged above the cost, and if they ask, and they always do, I explain we typically get about a 20% break, so they are saving 10% anyway. Kitchen cabs will save them 20% if purchased through me. 

To make these deals happen, you have to generally have accounts with your suppliers, and do a volume business.


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