A bid proposal always needs a quotation, as one of the most important elements in a proposal. This is a part where you will state your charge for the clients, which is why this is highly considered. Writing a quotation is challenging because you need to make it accurate. It takes time and effort to end up with a clear quotation and here are some useful guides.
Estimating the Hour Numbers
Your annual price can be used to estimate how much you get in an hourly rate. This is a good way to decide how many hours you need to put in every project. After knowing how much you earn in an hourly rate, you can consider the number of hours and the work should be given to the project for an effective estimation.
Covering the Materials
A business is to earn profit, so everything that needs to be covered should be included. Buying materials need certain amount of money and that is why your quotation must have this. Sometimes the materials cost can be stated just as how much they cost or you can also mark them up because you need to buy them and bring them to the site, which also takes energy, time and money too. It will ensure you are not losing your profit. However, the marking up should be realistic. You must only add the cost for getting the materials, no more than that.
When listing the prices of your offerings, you need to include the services. Tell them what you will do for the clients and how much they cost. You can create a list completed with the price. When working with this part, you need to be really careful because making mistakes in listing the services might end up with too high cost estimation. Before listing the services, make sure you ask the clients what they want you to do. Once you have the answers, you can simply put all the tasks they need. This will be more appealing since the clients can find all the required tasks in there. A good communication before writing is very important.
Using Proper Format
This is also an important consideration since a good format leads to a better understanding. You need to know where the payment terms should be placed and what the main content of the quotation should be. Read some examples of quotation proposal to help you know how it is written and what should be included. The main content is usually all the things require cost provided in details such as the materials, services and many others. The closing should be the timeframe of when this quotation is no longer effective.
Cost estimation always takes time and energy, so you don’t need to be hurry. Just prepare it carefully by looking for more information about the content and format. There are also many templates to use if you find it hard to start writing from the scratch. Just modify the templates to suit your need will help you easily complete it.