Cost Plus vs Fixed Price Contracts: What’s Best For Your Construction Business? | Stephen Mallinger скачать в хорошем качестве

Cost Plus vs Fixed Price Contracts: What’s Best For Your Construction Business? | Stephen Mallinger

Fixed price contracts work great for cookie-cutter homes and simple builds. But unique architectural projects demand a different approach. Award-winning builder Stephen Mellinger shares his proven “cost-plus strategy” that's transformed his high-end residential construction business. In this detailed episode of The Builders Ladder Podcast, Stephen reveals his exact approach to cost-plus contracts, including: The deposit approach that protects your final payment and maintains a positive cash flow in your building business A practical way to structure project management fees The powerful alternative to “variations” that maintains better client relationships A transparent invoicing system that builds trust while protecting margins Stephen also shares critical insights on avoiding legal pitfalls, and why quantity surveyors are essential for million-dollar-plus projects. Key moments: 00:02:15 - Types of projects best suited for cost plus 00:04:35 - Handling admin and project management fees 00:07:55 - How to structure payment claims and frequency 00:13:35 - Managing deposits and final payments 00:15:35 - How to handle margin transparency 00:21:15 - Including contingencies in labour rates 00:31:15 - Avoiding legal pitfalls and misrepresentation 00:33:15 - The importance of quantity surveyor estimates Whether you're currently handling complex residential projects or considering your first cost-plus contract, this episode provides a practical roadmap for implementation. Stephen even shares specific strategies for maintaining margins while building trust with premium clients. - Our construction business coaching has helped 2,500+ building companies succeed. Subscribe to The Builder’s Ladder Podcast for weekly, actionable insights — tailored to help you grow a profitable construction business. Follow TPB for more: 👥 FB Group –   / professionalbuilder   📸 Instagram –   / theprofessionalbuilder   🖥️ Get your business health audit + free resources (including website audit) here – https://www.theprofessionalbuilder.com 🚀 Head to https://tpb.tools/pod-call to book your FREE strategy session. 📈 Resources For Builders – https://tpb.tools/resources