What to Include in a Construction Proposal

An estimate is your internal math. A proposal is the document your customer reads and signs. A clear proposal answers questions before they are asked.

Core sections

• Your company details and license number where required
• Customer and project address
• Scope of work in plain language
• Pricing, by section or as a single total
• Allowances, with what happens if selections exceed them
• Exclusions: what is not included
• Customer responsibilities, such as access, utilities, and clearing work areas
• Estimated schedule
• Payment schedule and accepted payment methods
• Expiration date for the price
• Terms and conditions
• Acceptance and signature area

Exclusions prevent disputes

Listing what you are not doing is as important as listing what you are. Common examples include hidden damage discovered during work, permit fees if the owner pulls permits, and finish work by others.

Allowances

When the customer has not chosen a fixture or finish yet, include an allowance amount and state how overages or credits are handled.

Have your terms reviewed

Contract requirements vary by state and project type. Have an attorney review your standard terms before relying on them.