At Concept Estimating, our skilled team offers precise, detailed preliminary estimates that help in project planning, budgeting and decision-making on construction projects. From budget options to realistic estimates, we cover every necessary aspect for any given project.
A Preliminary Estimate Services is simply an early cost estimate for a construction project which provides initial, broad insight into possible expenses implicated before complete designing and planning of projects. It helps project owners as well as managers appreciate probable budgetary needs and make their first judgments concerning project viability or scale.
Calculating approximate initial costs for a project is an essential part of project planning and decision-making. Once you understand different methods to estimate things, it is possible to begin the first steps confidently with this level of accuracy in mind. To this end we shall take a closer look at four common methods.
Generating initial cost estimates is indeed very important as far as planning projects and making decisions. In order to cater for the different stages of projects as well as information levels, various methods can be used in making preliminary cost estimates.
For feasibility studies at first instance when there are little details available, a rough order of magnitude (ROM) estimate gives an approximate cost range generally quoted as -50% to +50%. Therefore this enables one to decide early whether to proceed with other tasks related to a project or stop it altogether without wasting time comparing different projects though they may be uncertain.
Definitive estimates offer the highest accuracy usually within -5% to +15%. Such estimates involve a comprehensive analysis of detailed project plans thus providing item costs for precise budget finalization and effective management of costs. This is important when considering detailed budget approvals and reducing financial risks.
Choosing the right estimation technique (ROM, Ballpark, Budget, or Definitive) is determined by the project’s phase and amount of data that is available. Every method becomes more accurate as well as comprehensive leading to successful project planning and decision-making starting from the very beginning to detailed financial planning and implementation.
Budget estimates in the planning process are further discussed and they contain a more detailed cost breakdown with an accuracy range of -10% to +25% based on past information and formulated plans that are very crucial in a year long project. Besides, they are used to ensure that the amount of funds put aside is utilized properly during detailed planning periods.
As projects progress, ballpark estimates refine the scope with a 20% range based on preliminary drawings and specifications. Within the constraints of the budget, this is also extremely helpful towards defining the project scope; hence it helps in attracting client interest and preliminary approvals by guiding them on costs that are more realistic.
In the beginning, our estimators look at the available information to understand the extent of the project in depth , including determination of project goals, deliverables, and main parts. An estimation plan that will steer us in cost calculation is produced in light of that analysis.
At last, all specifications, adjustments, and assumptions that happened during the estimation process are well documented. Their full documentation guarantees transparency and creates an obvious track for future reference and review purposes. This way, it is possible to come up with a dependable preliminary estimation which will serve as a strong basis for decision-making in project planning attempts.
After collecting the information similar ideas have been used before for referencing
purposes. This old information is very important when coming up with an estimate
since it acts as a benchmark. Changes, in such things as time, distance or how big
one builds, are then accounted for. On top of this we introduce a buffer for dealing
with certain uncertainties or challenges that may arise during the project execution
period.
We’ll look over your project plans and give you a detailed quote. Once you agree to the quote, you can pay the invoice securely with a credit/debit card or PayPal. This lets our team start working on your project immediately.