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Tennessee Construction Contract Cost Plus or Fixed Fee Form

Tennessee Construction Contract Cost Plus or Fixed Fee Form

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Instructions and help about Tennessee Construction Contract Cost Plus Or Fixed Fee

hey friends in today's video i explain the three basic types of contracts fixed price time and materials and cost plus and this is important because the contract type affects your risk of doing the job and how you price your bid the first contract type is a firm fixed price contract you'll bid a fixed price to complete a job so let's say you bid ten thousand dollars and you get awarded the contract when the contract is over you'll submit an invoice for ten thousand dollars it doesn't matter whether it only cost you five thousand dollars to do the job or it cost you fifteen thousand dollars to do the job so these types of contracts carry the greatest risk but can also be the most profitable for you the second type of contract is time and materials with the time and materials contract you're paid for labor hours at fixed hourly billing rates and the contract also covers the cost of materials a liquor hour contract is a variation of this whe

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