Hello! Can you also make a discussion or tutorials on how to give a cost price when you are a general contractor and get a subcontractor for the project.
Hi Ahmed, thanks for such a useful video. With regards to the items of calculating excavation rate, what happens if you are hiring an excavator and not buying it, what will change in the formula?
TLDR: Equipment cost estimation in construction projects involves factoring in various annual costs and considering the time value of money for future resale, in order to determine the total cost of equipment and make informed decisions about acquiring and using it. 00:00 💰 Equipment cost estimation includes purchase price and annual cost per year, which can be calculated by dividing the loss of money over the years by the number of years. 01:33 💰 Equipment cost estimation in construction projects includes factoring in operator cost, fuel cost, and service/maintenance costs per year. 03:01 💡 Equipment costs in construction projects include maintenance, insurance, and company overhead, with total annual costs including equipment, operator, fuel, service, and miscellaneous expenses. 04:38 💰 The total cost of equipment in a construction project is determined by the annual cost and the productivity of the machine. 06:02 💡 The excavation rate for the excavator is 1.65 dirhams per cubic meter, not accounting for loading or disposal costs. 07:09 🚜 Excavation subcontractors need to ensure constant work for their equipment, while main contractors should carefully consider the need for equipment before acquiring it. 08:24 💰 Calculate the cost of equipment in construction based on annual cost and usage, and consider the time value of money for future resale. 09:33 🏗 Pay close attention to the time value of money, especially in high inflation countries, but in low inflation countries like where I am, it will not affect calculations much.
