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The Hidden Costs Of A Low Commercial Electrical Bid


Everyone loves a good deal. In fact, there are many websites devoted to putting the best deals in front of us. Coupons, discounts, sales: we’ll do anything to stretch our money supply in every way we can. And that’s just our personal lives.

When it comes to operating a business, we penny-pinch even more. After all, why let more money slip away than necessary? And ways to spend money come up every day in a commercial environment.

Like many commercial business owners, you probably run a tight ship. You have a budget to stick with, and you look for ways to curb expenses any way you can. If you can save in one area, it can take the pressure off of others.

However, there are times when a “bargain” can lead to spending way more than you ever intended. That’s where frustration sets in.

Quality doesn’t come cheap. And in some areas, quality means everything.

Safe and consistent power is essential for operating a business. You’d never want spikes and outages to compromise your equipment, technology, and data. The same applies to your tenants if you lease space out.

If you have safety and quality issues with your electrical supply, your business won’t function well.

So when it comes time to add in new electrical, repair or replace existing circuits, think twice before accepting the lowest bid.

Electrical codes are complex – the most recent handbook from the National Electrical Code Handbook is in excess of 1200 pages. If the person working on your electrical system doesn’t understand the codes, isn’t up to speed on changes and how they affect your place of business, you could quickly pay the price down the road.

Bids are made based on two factors: materials and labor. Generally speaking, material costs aren’t going to vary much from one supplier to another. That means bid variance will be based on labor.

When one electrical service undercuts another by a wide margin, there is a reason. Contractors who are simply there to “run wire” are going to be cheaper than skilled and trained workers who do the job the right way. The typical “handyman” who knows a little bit about everything and not much about the details will always be cheaper than someone with years of experience in very specific areas.

Who do you want in charge of your electrical system?

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