TRANSPARENT COSTING ADVICE
R&M Property Group can use an Open Book approach to costs, which means all costs are presented to clients for review before acceptance. Every scheme can be developed collaboratively in this way, working with the design team and client to agree the scope and cost of the project before entering into contract. Project risks are discussed upfront, with mitigation strategies
agreed. This means that the client will receive a compliant bid, rather than exclusions and clarifications.
Once the contract is agreed there are two options. R&M Property Group close the book at which point the client knows that the scheme will be delivered at the agreed cost, with the exception of any variation works requested and risks they have decided to take responsibility for. (Any overspend will be paid for by the contractor). Or the contract can continue as Open Book and the client pays actual costs. (Any savings or overspend will go to the client).
BENEFITS OF OUR APPROACH
- Maximum price agreed at the outset (subject to variations and risk)
- All costs visible and transparent
- All rates are available to the client for review (rather than a priced scope of works)
- Client limits their exposure to risk
- Collaborative approach to designing and delivering the schemey
- Early engagement of contractor and specialist subcontractors means that the initial designs will be much better developed, reducing design development costs and variations once on site
- Market testing and multiple quotes will show that the scheme is being procured at competitive rates
- Reduced scope for potential conflict between parties
- Predictable cash flow forecast