Budgets
At Seven Arquitectura, we also provide guidance to our clients in preparing the budget for their construction project. This allows us to estimate the costs associated with the execution of the work.
A budget encompasses the expected expenses, necessary resources, and timeframes involved in the execution of the project.
For that purpose, a construction project budget generally includes the following elements:
- Material costs.
- Labor costs.
- Equipment and tools (in case of needing to purchase new ones).
- Indirect costs (such as management personnel fees, permits and licenses, insurance, legal expenses, etc.).
- Utilities and logistics costs.
- Contingencies (it is always advisable to allocate an additional percentage to address unforeseen events and risks during the project execution).
Indeed, at Seven Arquitectura, we always make it clear that a construction project budget is based on estimates and assumptions, so actual costs may vary during the project execution, especially if there are delays in certain stages.