Quote or estimate? What tradespeople need to know before pricing a job

A quote

A fixed price for a set job. Once the customer accepts it, that's the price, even if the job takes you longer than you thought. Change it only if the work changes.

An estimate

A rough idea of the cost, for jobs where you can't see everything until you start, like opening up a wall. The final bill can be different, but it should be close. If it's going to come in well over, tell the customer before you carry on. Under consumer law, where no fixed price was agreed, the customer only has to pay a reasonable price.

What to put in a written quote

• Exactly what work is included, and what isn't
• Materials, and whether you're supplying them
• The price, and whether it includes VAT
• How long the quote is valid for, such as 30 days
• When you'll start and roughly how long it will take
• Any deposit and when the rest is due
• How changes and extra work will be priced

Extra work

If the customer asks for more, or you find a problem, agree the extra price before doing it, ideally in writing. A text or email counts. Arguments about extras are the most common reason tradespeople don't get paid.

The 14-day right to cancel

If you agree the job in the customer's home rather than at your premises, consumers usually have 14 days to cancel. You must give them the cancellation information in writing. If they want you to start within the 14 days, get them to ask in writing; if they then cancel, they pay for the work done so far. If you don't give the cancellation information, they can cancel for up to a year and you may not be paid.

Deposits

Taking a deposit for materials is normal and protects you if the customer pulls out. Say in the quote what it's for and whether it can be refunded.