Quotes Vs Estimates explained

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Quotes Vs EstimatesExplained

As standard and in 95% of cases (unless requested otherwise) serviceteam seek to consolidate our prices with a Scoped, Fixed Price Quote presented for your approval in advance of the work going ahead. We do this as most of our customer prefer the ‘cost certainty’offered by a ‘Quote’ as opposed to an ‘Estimate’.

However, it is vitally important to understand the difference between the two. Both of which we will provide (when requested) in advance.

Quotes V’s. Estimates explained

  • As a business which provide a range of bespoke services (rather than set price products as shops do) providing our customers with an idea of what they should expect to pay for a particular job is a fact of life.
  • For our customers, understanding the difference between quotes and estimates, and requesting the right one at the right time is critical for your complete satisfaction.

So we’ve written a easy to understand guide to ‘estimates’ V’s quotes’ in our attempt to be avoid any misunderstanding:

So what's the difference between an estimate and a quote?

  • The first thing to understand about quotes and estimates is that they are NOT just two different names for the same thing. Estimates and quotes serve different purposes, benefits and advantages/disadvantages. Knowing the difference is key to avoid disappointment.

Let’s consider estimates, first:

What does a Serviceteam Estimate look like?

  • An estimate is made without using adequate or complete information, or put more strongly, an estimate is arrived at by guesswork or conjecture. In other words a ‘guesstimate’ or rough educated guess based on what a job may cost. Often it is supplied either before all the details of a specific job are known as would be the case when gathering information during a telephone conversation (with a prospective customer) or during a site visit.
  • Estimates would be our first port of call regarding costs. However, things will change once further and detailed information comes to light. For example, when unexpected complications arise during the work or when the scope of what we have been asked to do changes. This could be in the form of an addition, substitution or omission from the original scope of works.
  • Key point: So, an estimate is ‘just that’ – an estimate of the cost of a specific job. An informal idea of price based on limited information. Consider it a starting point in terms of costs, which can go up or down. Estimates CANNOT be used as a legal standpoint for price.
  • Serviceteam ‘estimates’ come with a thorough breakdown of labour plus material/s so you have an inkling of how long and how much has been allowed for and that rates and uplifts that will be applied to the final invoice.

What's a Quote?

  • A quote (or quotation) is an ‘exact’ price for the up and coming job and as such is fixed and CANNOT be changed once it has been accepted by the customer (unless the customer changes the amount/type of work required or there’s something outside of the scope of what was agreed).
  • Quotes will only be issued when we are confident that all the relevant facts have been established to confirm our price.
  • Understandably, quotes give our customers peace of mind; safe in the knowledge that they know exactly how much the work will cost prior to commencement.
  • ServiceteamQuotes’ do not come with any form of labour or material breakdown. Should the work/s take longer or less time to complete than first expected be assured our price will not change.
  • Our quotes allow for all the necessary labour, materials, plant and equipment and are based on the assumption of normal working hours, namely between 8am and 6pm Monday to Friday, and that no restrictions will be placed on the hours our operatives may work. If you would prefer the work to be completed “Out of Hours” this can sometimes be arranged, with the surcharge associated detailed within the “Quote Options” section of our proposal.
  • We have not allowed for the cost of parking, congestion charge, ULEZ or Waste Disposal within our quote the cost of which will be added to the final bill where applicable.

Can you elect retrospectively for your work/s to be treated as an Estimate or Quote?

  • Short answer is NO. We do not offer a ‘best of both worlds’ approach.
  • Often, and in retrospect we are asked to treat a fixed price quote as an estimate, or vice versa after the work/s have begun or have been completed.
  • This retrospective approach, based on hindsight effectively leaves serviceteam in a ‘worst of both worlds’ position without the capacity to manage the relationship between ‘risk and reward’ when it takes slightly longer than we thought we can’t ask for more, but when it takes slightly less time we are paid less.
  • We are happy to approach any job on an ‘estimate’ basis and in 95% of cases a ‘fixed price quote’ basis. However, our policy is not to retrospectively look at breakdowns for fixed price work assuming that the cost of that work is within 25% of that which the job would have cost at our hourly website advertised rates.

No hidden Extras

What you get from serviceteam

Occasional extra costs

We won't charge for

  • Experienced & vetted tradesmen
  • 5 Star Which? Trusted trader
  • Emergency response
  • 7 day availability for all trades
  • Dedicated Service Support Manager
  • Serviceteam Guarantee on workmanship
  • Peace of mind from trade accreditations
  • Parts and materials used
  • Collection of parts and materials
  • Ultra Low Emission Zone (ULEZ) charge
  • Cost of Parking & Congestion Charge
  • Fuel or travel time
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