The High Cost of Low Bids on Electrical Work
It can be tempting to go with the lowest bidder when you’re contracting for electrical work. After all, why pay more when somebody’s offering to do the job for less? But choosing an electrical contractor based solely on the basis of a low bid more often than not ends up being a costly mistake. Consider this: The biggest factors contractors consider when figuring what their bid will be are materials and labor, and low bids are usually at the expense of both.
In the Las Vegas area, the team at Penny Electric commonly sees electrical problems such as faulty GFIs (Ground Fault Circuit Interrupters) and light switches in tract homes that are less than three years old! It’s also common to see compliance issues resulting in a Notice of Violation (NOV) in new commercial structures as a result of builders who are cutting corners in order to save money and bolster their profits.
Other hidden costs that are likely to arise when an electrical contractor “low-balls” a bid include the following:
If your electrical contractor cuts corners to cover his bottom line for a low bid, it’s a near certainty that you’re going to end up with electrical problems sooner rather than later. This can result in downtime that can quickly affect your bottom line!
If you own rental property that ends up with electrical issues resulting from substandard materials or shoddy installations, you’ll either end up having to hire somebody to make it right, or you’ll lose your tenants. Either way, it’s going to cost you!
Building Code Violations
Electrical issues could result in building code violations and fines, leaving you in the uncomfortable position of having to have the work redone by a reputable electrical contractor — and paying a second time for work that should have been done correctly the first time!
Delayed Sales of New Homes
If you’re a developer or a builder trying to sell a new home and an inspection reveals electrical problems, the sale could be delayed — or worse, the buyer could back out over skepticism about the quality of the rest of the build.
If you’re a landlord renting a unit that has electrical problems resulting in the injury of a tenant, you could be on the hook for their medical bills in the best case scenario. In the worst case scenario, you could be sued.
If you are sued, you’re looking at expensive legal fees and maybe even a legal settlement if the court rules against you.
You Get What You Pay For
Yes, it’s a cliché, but clichés are born of truth, and if an electrical bid is so low that it sounds too good to be true, you can bet that it probably is. Here’s another fitting one: Buyer beware! (Going with a low bid can be dangerous and costly for homeowners and business owners alike.)
Penny Electric’s full-service, licensed, bonded and insured staff is committed to quality and attention to detail above all else. We’re so confident in our staff, each of whom is trained on a continual basis, that we stand behind our work 100%. We also use the highest quality materials available in the electrical industry on all of our jobs.
We have one more important point to make — Just because we use the best materials and pride ourselves on the quality of our work, that doesn’t mean we won’t treat you fairly and with respect, and that includes quoting you a fair price for the job you’re putting out to bid. You can rest assured too, that the price we quote you is the price you’ll pay! Reputation counts if you want to keep and grow your customer base, and we value both our reputation and our customers. If you’d like a fair quote for quality electrical work, please feel free to contact us anytime!