Unlike public procurement there are more possibilities in the sector of private construction services to have an influence on a bid price estimation. It can be achieved by specifying the area of general jobsite overhead – a component of indirect costs. The general jobsite overhead which is independent of time and occurs a single time, whereas the general jobsite overhead depends on time and occurs repeatedly during the completion of the construction investment. A more detailed calculation of indirect costs may reduce the risk for an unjustified price overstatement for the Client while providing an appropriate cost-effectiveness for the Constructor.

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