I have an opportunity to submit a proposal for a floor maintenance contract, and have never had a contract for a job this size. Given that, I am in the process of incorporating, and am purchasing liability insurance to protect myself.
The involves 16 locations @ an average of 6000 square feet each. The floors have been neglected (old crew in process of being terminated), and require a total strip and re-finish, as well as a good scrub-down of all the chemical splattered baseboards.
I am in FL, and according to my research, it seems that for standard contracts, 40 to 50 cents per sq foot is low end of average. (Found some around 90 cents per square foot, but that is for smaller jobs.)
Given that this is a large contract, I am assuming what I think is a significant discount.
I will obviously have labor costs, as I will need some help, and am thinking of charging estimated cost +10 cents per square foot, which will bring me to around 40 cents per sq foot for initial overhaul, and 20 cents per sq ft for maintenance visits. I do know it is more than they were being charged, but the results of that speak for itself.
I am also offering to do one location for them, to demonstrate the caliber of work we will be performing.
Does this sound reasonable?
Any feedback would be appreciated. I would love to land this contract, and want to get the proposal right the first time.
Thanks in advance.