Together with prices for these components, the measured quantities are the basis for calculation of the direct cost. This involves reviewing the project's plans and specifications to produce a take-off or quantity survey, which is a listing of all the materials and items of work required for a construction project by the construction documents. To prepare the bid, first a cost estimate is prepared to determine the costs and then establish the price(s). Methods Traditional methods Ĭonstruction contractors usually prepare bids or tenders to compete for a contract award for a project. Some architects, engineers, construction managers, and others may also use cost estimating software to prepare cost estimates for purposes other than bidding such as budgeting and insurance claims. A cost estimator will typically use estimating software to estimate their bid price for a project, which will ultimately become part of a resulting construction contract.
Construction cost estimating software is computer software designed for contractors to estimate construction costs for a specific project.
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