How low can I go?

[Pebbs]

Cost engineering is a pain, so I am throwing this open for discussion.

40 kitchens 600m2 300x100mm ceramics on the walls, 300x300 ceramics on the floors. What is a realistic m2 rate these days? There are cuts to be done that equate to 12% overall.

What do you all think?

Thanks

Lynn

 

[Andy Allen]

fix only or supplying addy and grout

 

[hillhead]

So 15m2 per kitchen, the rates are crap over here but i'd be in there at around 10k to be competitive i think.
That's taking in the current state of affairs plus hoping that walls and floors are ok but i bet i'd get beat hands down too !!
Labour only.

 

[Pebbs]

This is the labour only ive adusted all the adhesives and grout prices, Im hearing horror stories about how low the rates have sunk.

Lynn

 

[hillhead]

Lynn i kid you not when only last week i spoke to another tiler who chatted about work etc.
Rates came up and he told me he had just laid 97 m2 of opus travertine at £8 m2 !!!!
He was hanging for work and was not the cheapest but got it.
He is one damn good tiler too.
It's scary out there for sure.

 

[Pebbs]

Aye it is worse than bad, I priced the job up a year ago for them, they won the contract and start next week. Then they ring me and say we want you to cost engineer it for us. How much do you want to save (normally between 10-15%) they want to knock the stone and ceramic package down by 40% :yikes: Ive done all the stone again, changed the tiles over, and now need to cut down the labour rates on the ceramics. Its going to be a long night they want it by 8am tomorrow.

Lynn

 

[Time's Ran Out]

Are they all ready now or will it be in 6months when you've got loads of work on.
In Central London with congestion charges, travelling time, and parking fees!
2 months work for 1 man (60-65 days) and factoring in a bit of profit:smilewinkgrin: 15k.

PS - I'am down for 170 sq mts in the next month+ NW London. Any good coffee parlours?

 

[Del W]

Even if you go £20sqm theres a big chance someone will go lower.

 

[nybor62]

i can say with all confidence that someone will go lower than £20 @m2 , i think hillhead is about right at 10 k , maybe you can make a bit more for remedial work as there is bound to be breakages form other treads working in there

 

[Time's Ran Out]

I don't believe that it is all about price for your company Lynn.
They came to you for the quality of previous contracts and asked you to tender 12 months ago - and they won the contract.
The figures being quoted are for single/small size businesses without all the overheads that you will have.
Only you really know how low you can go and at the very least break even:yikes:
If you set your stall out today, they will want it that price next time - a slippery slope.

 

[Pebbs]

Aww John if only every contract was high end, you still got to deal with the bread and butter, either that or starve. What happens is a lot of the time is the package is split, I get the stone and marble and then someone else gets the ceramics. Then you watch them muck it up, nick your adhesives, and generally battle with them. So this time I have taken the bull by the horns and try and win both parts of the work. I dont know if it will pay off, and I may only break even on that side. Lets see what happens.

John let me know when your down this way, and we can see if the coffee meets your exacting standards!

Lynn