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zmVault/estimating-misconceptions.md
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2025-06-13 12:11:54 -04:00

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estimating

Estimating Misconceptions

Standard Practices

In general, many things thought to be standard are quite the opposite.

  • Use of square receptacle symbols

Proposals

Proposals are not legally binding, which is a double edged sword for intermediate subcontractors like electrical:

  • Proposals to GC's can be withdrawn for any reason
  • Proposals from subcontractors can be withdrawn for any reason

This is obviously not popular practice, however it is important to recognize that errors aren't set in stone until a contract is signed.

Destigmatizing proposal retraction is of critical concern for subcontractors. See estimating-culture for more on estimate error game theory.

It's important to recognize that retracting a proposal may upset a few people employed by the GC, but consider how little your own opinion matters to your company's strategic decisions. Much bigger people are involved after the proposal is accepted.