Most quotations in construction are priced from a BQ, either your own or one the client or main contractor sends you. The BQ keeps the price checkable: anyone can see what each item is, how much of it, and at what rate.
The mistake to avoid is sending the client your working sheet. Your costs belong in one place, and the quotation the client sees belongs in another, with only the selling rate and the amount.
What goes on a BQ and quotation
- Item number and descriptionOne line per item of work, in the order of the drawings or the client’s BQ, grouped by section or trade.
- Unit and quantitym, m², m³, kg, tonne, no., set, lot, measured from the drawings.
- Rate and amountThe selling rate per unit. Amount is quantity times rate, and each section has a subtotal.
- PreliminariesSite setup, insurance, scaffolding, cranes and other costs that are not one work item.
- Provisional sums and exclusionsWork that cannot be priced yet, and what your price does not include.
- TermsValidity in days, deposit, payment terms, delivery or completion period, and SST if you are registered and it applies.
How to price a quotation with the template
- List the itemsOn the cost sheet, from the drawings or the client’s BQ, with unit and quantity.
- Price your costsMaterial, labour, transport, crane and subcontract cost per unit, from current supplier prices.
- Set your selling rateType the markup you decide in the one cell on the cost sheet. The selling rate works itself out.
- Check the client sheetIt picks up the description, unit, quantity and selling rate. Your costs are not on it.
- Add your terms and sendValidity, deposit, payment terms and exclusions. Then save the file as a PDF for the client.
Mistakes that cost you the job, or money
- Old material prices. Steel and other prices move. Price from a recent supplier quote, and keep the validity short when prices are moving.
- Quantities not checked. Measure from the drawings yourself even when the client gives a BQ. A wrong quantity on a fixed price is your loss.
- Hidden costs left out. Cranes, scaffolding, transport, permits and wastage belong somewhere in the price.
- Sending your costs. If the client receives your working file, they see your costs. Send only the quotation sheet, as a PDF.
- No exclusions. Write down what is not included, so it is not argued about later.
Do it in Raul instead
Raul’s Quotation Calculator prices a quotation from your own costs, with a materials price list that fills in the rate. The client sees the selling price, never your costs or markup.
See quotation and BQ software- Import the BQ a client sends you as a PDF, a photo, or an Excel or CSV file, then check it and price it.
- Print the quotation PDF on your letterhead, fill the client’s own BOQ form, or send an Excel file with live formulas.
- Duplicate a quote as Rev 2, and convert it to a project when you win the job.
Common questions
What is a BQ in construction?
A Bill of Quantities (BQ or BOQ) is a list of every item of work in a job, with its unit, quantity, rate and amount. Contractors price it to make their tender or quotation.
What is the difference between a BQ and a quotation?
The BQ is the priced list of items. The quotation is the offer you send the client, with the total price, the BQ or a summary of it, and your terms such as validity and payment.
Should the client see my cost rates?
No. Keep your costs on your own sheet and send the client only the selling rates and amounts.
What unit should I use for each item?
Use the unit the work is measured in: kg or tonne for steel, m² for floor and roof areas, m for lengths, no. or set for single items, and lot for things priced as a whole.