Cash required to create building products represents the cost of construction. To calculate this cost, special documents are developed - construction estimates, in which the estimated cost is calculated. The estimate documentation discloses in detail all the costs of construction. On its basis, a contract is concluded.
The preparation of construction estimates takes place, one might say, in 3 stages:
- Preparation of local estimates.
- Compilation of object estimates.
- Consolidated cost estimate for construction.
Local estimate is the original estimate document, which provides cost estimates for a specific type of work. Based on this type of documents, as a result, a consolidated estimate is formed. To compile this business paper, the so-called TERs (territorial unit prices) are used, as well as estimated standards (enlarged), which allow you to calculate everything as accurately as possible in a particular construction region.
Local estimates can be compiled using two different methods: resource and base-index. Applying the resourcemethod, the cost of construction is calculated at current prices. In the basic-index approach, the calculation of the cost occurs due to specially developed indices created in order to recalculate the estimated cost from the base to current prices. Indices change every year, so the cost is calculated as accurately as possible.
Objective estimate consists of local estimates grouped by the following works and costs:
• construction work;
• mounting;
• equipment, furniture, inventory;
• Other works.
The calculation of the object estimate is made by summing up local prices in current or basic prices and is compiled for the whole object. For its calculation, aggregated standards and indicators of analog objects in value terms are used. Contractual prices for the object are formed on the basis of this type of documentation.
Consolidated cost estimate is a document that establishes the estimated cost of construction for all objects included in the project. Based on it, a decision is made to finance the construction.
The summary estimate calculation determines the effectiveness of the considered design solution. When calculating the cost of housing and civil or industrial construction, it is divided into chapters, at the end of which, starting from the eighth, the total amounts of the calculation are given. Data grouped by the same work is entered into it from all object estimates.
You should also be aware that the consolidated cost estimate must be drawn up for the construction as a whole, regardless of the number of contractors involved. An explanatory note is attached to it with all the information about the construction: where it will take place, the standards adopted for the preparation of documentation, the expected profit.
The preparation of all these documents can be carried out both on paper (handwritten) and in electronic form (in Excel or special software products). For example, Grand Estimate or Estimate Wizard is a worthy solution.
Estimated documentation must be drawn up in the prescribed manner, regardless of how construction is carried out - under a contract or in an economic way.
