Snow RFP Best Practices: Four Pricing Models You Need To Be Aware Of

Snow RFP Best Practices: Four Pricing Models You Need To Be Aware Of

Snow RFP Best Practices: Four Pricing Models You Need To Be Aware Of

There are four traditional snow removal pricing models: Per Push, Event, Seasonal, and Time & Materials. There are key differences between each model, and it’s important to understand how each pricing model works to understand which one best fits your needs.

What are these differences, and which pricing model is the best fit for your portfolio? Let’s review:

1. Traditional Service Model (Per Push)

Per Push pricing is on a “per service” price
point, meaning there is a set cost billed for each time a plowing or salting service occurs per the contracted service trigger.

Traditionally, small box footprints and route-based services use this model in heavy and light snowfall markets.

2. Consolidated Service Model (Per-Event)

When estimating the total snowfall during an individual storm, it’s standard to use a per-event pricing model. For example, rather than paying a rate for each personal service, tiered price points are established based on snowfall during a winter weather event.

This pricing model is flexible as it fits both small-box and big-box footprints in heavy or light snowfall markets, and it’s the most commonly used format as an alternate option in lighter snow markets for companies that prefer to use an inclusive seasonal model in their more severe snow markets.

Also, the Per Event option is less of a burden administratively due to fewer line items on an invoice than the per-push model.

Call Ferrandino & Son at (866) 571 – 4609 or email
sales@ferrandinoandson.comto learn more about our snow programs and services.

3. Inclusive Service Model (Seasonal)

In regions where the average snowfall is higher than average and more consistent over a 2-3 year period, seasonal models are commonly used to determine costs for a snow removal program. Seasonal areas include more inclusive pricing options and provide the most budget predictability.

Typically, portfolios with prominent locations in heavy snowfall areas will leverage the seasonal price model to lock in a consistent budget over multiple years. It’s rare for small-box portfolios to implement this model since the inherent nature of seasonal pricing and equipment staging doesn’t align with route-based services rendered on smaller properties.

4. Large Service Models (Time & Materials)

Finally, models based on time and materials are ideal for significantly larger properties that average a million square feet or more. These types of properties require the staging of specialized equipment to deliver adequate snow removal services.

Usually, this model doesn’t fit most company’s needs due to the unpredictability of the cost from year to year. However, this pricing model is useful for select locations such as data or distribution centers.

When choosing a pricing model for your snow removal program, we recommend opening up discussions with your contractor to review which solution may deliver the best value for your portfolio along with an effective scope of work.

Looking for the right partner to help manage your snow removal needs? Click HERE to learn how Ferrandino & Son can help initiate your Snow RFP today!

CONNECT WITH US TODAY!

Did you purchase a franchise and require a contractor to develop your space?

Please email us at sales@ferrandinoandson.com to connect with
one of our dedicated representatives to launch your franchise today!

866-571-4609

sales@ferrandinoandson.com

Snow RFP Best Practices: Quality & Price Through Service Triggers

Snow RFP Best Practices: Quality & Price Through Service Triggers

Snow RFP Best Practices: Quality & Price Through Service Triggers

When creating a scope of work for snow removal at your properties, it’s important to identify a service trigger that aligns with the level of service you expect.

A service trigger should clearly define the amount of snow and ice accumulation that will prompt your service partners to automatically dispatch local plowing and salting services during a winter weather event.

So the question is, when should the local crews show up to begin service at your properties?

The industry standard for snow removal triggers typically ranges between 1-inch, 2-inch, and 3-inch triggers. Let’s discuss the differences.

1-inch: Aggressive Benchmark

A 1-inch trigger is the most aggressive benchmark for service delivery, which means it can also be the most costly to your budget. Requiring crews to arrive when an inch of snow accumulates and continuing service at one-inch intervals throughout an event can be optimal for some contracts, but does it make sense for your properties?

A 1-inch trigger is the most aggressive
benchmark for service delivery, which means it can also be the most costly to your budget. Requiring crews to arrive when an inch of snow accumulates and continuing service at one-inch intervals throughout an event can be optimal for some contracts, but does it make sense for your properties?

For small-box locations such as banks, convenience stores, or properties sized
less than 40,000 square feet, services are
typically route-based. Route-based services at one-inch intervals are nearly impossible
since the time it takes to cycle through even a small route of locations will prevent a crew from meeting that expectation during a moderate or heavy snow event.

However, for big-box locations staged with crews and equipment, it’s more realistic to
achieve this aggressive trigger. Maintaining this level often requires several pieces of large equipment, which does come at a cost.

For example, where a standard 200,000 square foot lot might require three pieces of
equipment to maintain a property at two inches, maintaining one inch might require
additional machinery to meet the trigger’s demand.

Certain suppliers might take advantage
and decide to price that “one-inch trigger” under the guise of delivering service at two inches to win the work and hope the client doesn’t hold accountability for that expectation.

That is why setting expectations regarding the service levels is critical during the RFP process.

Contact Ferrandino & Son at (866) 571 – 4609 or email
sales@ferrandinoandson.com to talk more in-depth about your local franchise build-out now!

2-inch: Industry Standard

A 2-inch trigger for snow removal is an industry-standard. It provides a consistent level of service that’s achievable for both big and small box properties.

Most local service providers have the experience managing route-based services that adhere to a 2-inch trigger. Many companies choose this trigger as it most closely balances service-level expectations and cost.

3-inch: Budget Saver

Referred to as a “budget saver,” a 3-inch trigger ironically comes at a price. For example, as a property’s conditions become hazardous from snow accumulation, there’s a higher risk of accidents or slip and fall incidents onsite. Delayed operations due to high triggers not being met can cause an increased risk and liability for your company.

Bare pavement can be challenging to achieve with a 3-inch trigger, and post storm conditions are often less than favorable due to packed down snow and ice. These problems occur from excessive pedestrian and vehicle traffic on unplowed sites while there are still several inches of accumulation.

Although you may receive lower bids
during an RFP by setting a 3-inch trigger, you could risk negative customer experiences, impact your brand, and increase liability. It’s important to understand if your properties are a good fit for a higher trigger, or you could cost your company more in the long run.

It’s important that your stakeholders fully understand each service trigger’s ramifications related to cost and service levels. Be sure to take the time to weigh the impact between brand, cost, and liability to determine the trigger that best fits your needs.

If you need help determining the right trigger to meet your expectations, connect with your national contractor to gain better insight, and avoid settling for less than your portfolio deserves.

Looking for the right partner to help manage your snow removal needs? Click HERE to learn how Ferrandino & Son can help initiate your Snow RFP today!

CONNECT WITH US TODAY!

Did you purchase a franchise and require a contractor to develop your space?

Please email us at sales@ferrandinoandson.com to connect with
one of our dedicated representatives to launch your franchise today!

866-571-4609

sales@ferrandinoandson.com

3 Hidden Construction Costs Your Franchise Needs to Consider

3 Hidden Construction Costs Your Franchise Needs to Consider

3 Hidden Construction Costs Your Franchise
Needs to Consider

Hidden costs typically end up costing you
more time and energy than probably
anything else throughout your franchise
process.

Hidden costs can range from the slightest
details to massive faults within your
commercial property. Usually, you don’t
know about these fees until you plan your
construction or renovation project.

Before signing any lease on a commercial
property, consider a site evaluation to
uncover all those pesky surprises that will
affect your project’s scope of work and your
overall budget in advance.

Relying on more than 25-years of
Construction industry experience, here are
some of the most frequent examples to
help you get started:

UNDERGROUND DRAIN PIPING

The location of any newly installed sinks
and toilets is dependent on how you
properly secure your new features to the
current point of connection or to the main
sewer line itself.

Trenching the property can add a bundle to
your costs. Even if you’re not installing new
plumbing, the existing drainage condition
can be like an explosive waiting to go off.

We recommend that you establish your
plumbing conditions first and then figure
out accountability (tenant or landlord) for
any faulty features within your
infrastructure.

To get the best site inspection possible,
contact a national GC to help you
thoroughly inspect your plumbing and
pipelines.

Contact Ferrandino & Son at (866) 571 – 4609 or email
sales@ferrandinoandson.com to talk more in-depth about your local franchise build-out now!

PERMIT REVISIONS

City permits are a complicated part of any
commercial renovation project. Of course,
permit processes vary per the geography.
However, every project will undergo this
kind of challenge at least once.

Any plan revisions are required to
incorporate some representation of your
project. For instance, if plan revisions are
necessary, you might have to increase your
budget to have an architect or engineer
alter your plans.

In addition to hiring specialists, you will also need to add labor costs to execute the plan revisions and go through the municipal approval process again.

Busy municipalities can take weeks to
months to approve your plans. The cost to
you is not just the architectural,
engineering, and permit fees, but also lost
time.

To streamline this step, make sure your GC
can navigate the permitting process and
be the right advocate to voice your best
interests.

UTILITY CHANGES

You may find that you need a service
upgrade (more electricity or gas) to add
more power to your space or for your
equipment.

For example, if the existing property has 200 amps of power and you need 400 amps for a commercial kitchen, it may take several months to process these service upgrade requests.

Including a GC in this process to help
correspond and coordinate this upgrade
ensures field condition requirements and
mitigates further issues when an inspector
comes to inspect the job site.

Remember, hidden costs apply to almost
everything before beginning your
construction or renovation project.
Some hidden costs are unavoidable. Being
aware of them ahead of time can help you
plan and budget your project correctly and
even influence your commercial space.

For additional reading, please check out
these resources below:

Check out our latest blog HERE for more information!

Check out our latest case study HERE for more information!

CONNECT WITH US TODAY!

Did you purchase a franchise and require a contractor to develop your space?

Please email us at sales@ferrandinoandson.com to connect with
one of our dedicated representatives to launch your franchise today!

866-571-4609

sales@ferrandinoandson.com

The Top 5 Real Estate Tips For Your Franchise

The Top 5 Real Estate Tips For Your Franchise

The Top 5 Real Estate Tips For Your Franchise

Suppose you’re in the process of acquiring
a commercial property to buy or lease for
your business. In that case, it’s important to do your due diligence in becoming familiar with the property history and conditions. Some might view connecting with a national GC at this stage too early in the process.

However, it’s wise to bring them on
during this evaluation stage, so you don’t
overlook possible deal-breakers in your
new space.

Below are the top five best-in-class
assessment tips to follow when assessing
your next franchise space.

UTILITIES & UPGRADES

Your new franchise’s existing utilities can
affect just about every step of the design
and build process and their respective
expenses.

As you start to invest your time and money
into your commercial property, your
national GC will document the types of
utilities your space requires. Certifying
whatever upgrades you have in mind will
match the energy source.

You want an expert eye because you don’t
want to get too far in your upgrades and
suddenly realize your gas line might not be
up to code.

ACCESSIBILITY

Making sure to adhere to accessibility
conditions in your new franchise is central
to your space’s functionality. If your new franchise is a medical clinic, restaurant, medical spa, or any public property, you might want an expert opinion about ADA regulations.

Things can turn into a liability real quick if your franchise is inadequately prepared.

CODE COMPLIANCE

Following suit with the previous advice, general code compliance and permitting go hand-in-hand when prepping your next franchise location.

Things could be much easier if we could all
bypass getting “permission” to design a
space we purchased, but that’s not the
case and with due cause.

If you bring your national GC on board
during this stage, you’ll quickly find to your
benefit how much faster and easier the
permitting process can be.

Contact Ferrandino & Son at (866) 571 – 4609 or email
sales@ferrandinoandson.com to talk more in-depth about your local franchise build-out now!

DEMOLITION & HAZARDS

In terms of dealing with the demolition
stage and the abatement of hazardous
materials, it’s highly-recommended to
enlist a contracting partner.

You don’t want to go through the hassle of
doing this part alone.

By acquiring a GC, you’ll not only feel
comfortable with the completion of the
task, but you’ll feel better knowing that the
vetted crews (responsible for tackling this
stage) have the right protective gear and
personal protective wear.

HIDDEN FIGURES

Finally, the one thing that is perhaps of the
highest-priority is dealing with your
franchise’s hidden costs (e.g., subsurface
conditions).

Now that you’ve purchased your space, the
last thing you want to do is put the budget
you have aside for your projects to go into
other spontaneous things that will raise
your bill.

Spontaneous hidden fees could include
unanticipated groundwater (static or
percolating), muck and excessive rock
formations, and other artificial
human-made obstructions.

Again, your national GC will come to the
rescue, and make sure to catch all these
issues first so that you won’t deal with any
hidden surprises.

In the end, your partner can help save you
tens of thousands of dollars through their
experience and perspective.

They know the ins and outs of your
structural conditions, city inspections, and
the necessary details of the work that’s
required.

Most importantly, your GC can weigh in on
your project’s true scope of work and cost.
For additional reading, please check out
these resources below:

Check out our latest blog HERE for more information!

Check out our latest case study HERE for more information!

CONNECT WITH US TODAY!

Did you purchase a franchise and require a contractor to develop your space?

Please email us at sales@ferrandinoandson.com to connect with one of our dedicated representatives to launch your franchise today!

866-571-4609

sales@ferrandinoandson.com

Commercial Site Evaluations Critical To Project Management

Commercial Site Evaluations Critical To Project Management

Commercial Site Evaluations Critical To Project Management

You deserve to have as much information as possible before purchasing or selling
commercial property. With a comprehensive commercial site evaluation, you can get the perspective you need to upgrade your space confidently.

Site Evaluation Checklist

A comprehensive site evaluation can help
you run through all the facts about your
commercial property or prospective
property while helping you visualize any
design program you have in mind for your
portfolio.

National GCs should apply their
industry-leading knowledge, database,
network, and commercial structure savvy
to help you understand the facility’s
landscape but also so you know your site’s
regulations and your project checkpoints
and expectations accurately and
realistically.

Typically, if you connect with a contractor,
you’ll have an immediate opportunity to
audit your site. Site evaluations mostly
consist of utilizing your SOW to establish the work and (depending on GC) identify other overlooked items, not within your scope.

What to Expect

Working to understand what short-term
and long-term resources are needed for
your business to move and thrive is the
primary goal.

Accurate commercial site evaluations and
consultations give you the most bang for
your buck. Knowing about the potential
hidden costs to any design plan ahead of
time is the point of investment.

Contractors offer 100% of their expertise to
streamline the process of transforming “just a property” into a dream-reality.

In addition, a construction partner can save
you a significant amount of money by
steering you away from options likely to
incur more costs and offer a value-driven
alternative to work within your budget.

Commercial property inspections should
include the following:

  • Identifying Structural Planning

  • ADA Accessibility

  • Resubmittal

  • Mechanical, Electrical & Plumbing Systems

  • Review of Pre-Plan Builds with Future Needs

  • Fire Protection & Suppression

  • Title-24 Compliance

  • Restricting Construction Guidelines

  • Condition of Existing Subflooring

  • Demolition Requirements & Containment

  • Communication with Ownerships, Agents & Prospects

Site Evaluation pricing is property-specific and varies per commercial property. For a snapshot of expectations under a comprehensive site assessment, contact a GC as soon as possible and request a commercial property checklist.

You can utilize this general checklist to perform an independent evaluation first. However, to get the most value, contact a national GC for a thorough and professional site analysis.

For additional reading, please check out these resources below:

Check out our latest blog HERE for more information!

Check out our latest case study HERE for more information!

Contact Ferrandino & Son at (866) 571 – 4609 or email
sales@ferrandinoandson.com to take advantage of our site evaluation services!

CONNECT WITH US TODAY!

Did you purchase a franchise and require a contractor to develop your space?

Please email us at sales@ferrandinoandson.com to connect with one of our dedicated representatives today.

866-571-4609

sales@ferrandinoandson.com

Remodels and Build-Out Best Practices

Remodels and Build-Out Best Practices

Remodels and Build-Out Best Practices

When working within the franchise industry, it’s best practice to understand the complexities of all the commercial components and available custom finishes that can make your project stand out.

For example, signage and lighting are just as crucial as other construction elements in
contributing to your business’s success.

Whether you need exterior or interior
construction services, or both, below are
some guidelines that can help offer your
next project deliver the outcomes you are
hoping for.

Approaching Your Remodel

Remodeling an existing business requires
an extra level of attention, and you want to
make sure that you’re partnering with a
contractor that understands your
municipality processes and Health Code
regulations.

Specific regulations can affect even the
most common installations like proper
hood Installations for a commercial kitchen, ADA upgrades, retrofits, and refrigeration.

Having knowledgeable professionals by
your side can provide a better experience
while seamlessly assessing possible project
delays and municipal approval issues
before they happen, which directly
translates to saving you time and money.

Be in the Know

Through your franchise buildout, know how your partner provides the right value to engineer your vision. Does your partner provide money-saving alternatives, and are they submitting streamlined designs and construction services?

Is your partner giving you detailed progress reports and invoices? Do they have a large enough labor force to deliver exceptional custom builds?

Whether this is your first build or your
hundredth, use an experienced contracting
company to gain an in-depth understanding of your project’s requirements to set realistic timing expectations and for proper allotment of resources.

Connecting With the Right Industry Experts

Accept nothing less than the very best
quality work. From offering practical
cost-saving material alternatives to finding
design adjustments that improve your
remodel and enhance your visual appeal,
connecting with the right industry experts
will give you a consistent approach for
your renovation needs.

Also, consider partners committed to
providing a safe work environment and
courteous to limit business disturbances
even on the tightest deadlines.

Take the time to seek out your go-to
general contractor. The start of your
business relationship doesn’t have to end
after your construction projects. They can
be your leading resource to help mitigate
maintenance issues for better portfolio
longevity. For additional reading, please
check out these resources below:

Check out our latest blogs HERE for more information!

Contact Ferrandino & Son at (866) 571 – 4609 or email
sales@ferrandinoandson.com to learn more about our construction programs and services!

CONNECT WITH US TODAY!

Did you purchase a franchise and require a contractor to develop your space?

Please email us at sales@ferrandinoandson.com to connect with one of our dedicated representatives to launch your franchise today!

866-571-4609

sales@ferrandinoandson.com