Builders marking up subbies rates

[Crom]

We are working with a builder with a good local (South West) reputation to finalise a budget to convert two listed outbuildings. However, I have discovered that he is marking up subcontractor quotes by 20% which seems a little excessive to me. For certain jobs (eg electrical) a little wall chasing is going to be required but for damp proofing there appears to be only the management to take into account. I have asked around and 10%-12.5% appears to be more the norm. Before I get into negotiations, I was wondering what other people's experiences of this were.

Any help would be most appreciated.

All the best,
Ben

 

[Penners]

I'm not sure that other people's experience is going to be much help to you, Crom. Ultimately it's going to come down to how much the builder wants the job.

If you tell him that he's marking his subbies up by an excessive amount, then one of two things will happen: he'll either give a bit in order to get the work, or he'll tell you you to take it or leave it!

It's called 'supply and demand'!

 

[Moo]

Did I really read the dreaded words 'damp proofing"?

 

[Penners]

Coo-er! It's lucky Evelyn's not here - there'd be hell to pay!

 

[Moo]

I have a sneaking suspicion that she keeps a beady eye on us over here. I occasionally get that funny feeling that someone's looking over my shoulder, about to tut ferociously.

 

[Peter]

15% is normal here

 

[middi]

Looking at this from another angle.

You contracted the builder to do the work for you, presumably after fees were negotiated etc..., I do not think you can dictate to him what his profit margin should be on sub.contractors. He could imply that obviousely it would be a lot cheaper for you to find sub contractors, instruct them on works to be done and take full responsability.

I am on your side as far as the 20% is concerned, 10 to 15 % is more the norm and this percentage will be influenced by the demand on the builder from the subbies and the demands of any implications due to the restoration.

Certainly you can diplomatically approach him in order to get the fee reduced and keep things running smooth, and the first thing that will cross his mind is:- which of the s.o.bs told the customer how much they were getting paid. That,s life.

 

[RobT]

Hi Crom,

before going ahead with dealing with the alleged damp have a read of the following two articles. Find the real causes of damp and you could save yourself a bundle of cash and disruptive building work -

http://www.askjeff.co.uk/content.php?id=3

and

http://www.periodproperty.co.uk/article014.htm

regards

Rob

 

[biffvernon]

I occasionally get that funny feeling that someone's looking over my shoulder, about to tut ferociously.

Have you noticed there is usually a 'guest' online along with registered users. :wink:

 

[worms]

Sadly, I don't think E is lurking, I really can't see her being able to sit on the sidelines and keep out of the debates. I hope to be proved wrong though!

 

[Penners]

Have you noticed there is usually a 'guest' online along with registered users. :wink:

Yes... and the curtains sometimes move for no apparent reason.... :shock:

 

[Crom]

Thanks for all the comments. I was worried when 'damp proofing' was mentioned (having spent months on this board reading what a bad idea it was)! But having spoken to the conservation officer at the council and the architect who's worked on many listed buildings I'm reasonably happy that we're taking the right course of action. Having said that, I'm always up for more advice, so if anyone fancies taking a look, I'll happily send them the spec for the work, for comment.

All the best.