Why cheap commercial electrical quotes often cost more long-term

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Commercial Electrical

With prices soaring due to inflation and macroeconomic factors, building owners may be inclined to get their electrical work done by opting for the cheapest quote.

However, is cheap better? It’s an age-old question! The truth is that cheap isn’t always bad; however, if you notice a pattern where a cheap quote stands out from the average, then you might want to rethink your choice.

Cheap commercial electrical quotes may seem like a bright idea when choosing between installation companies, but more often than not, these cheap installations typically result in long-term costs.

Read below to learn more about why cheap commercial electrical quotes often cost more in the long term and what you can do to get the most out of the electrical installation in your commercial building:

WORKING ON A BUDGET

We get it, commercial buildings aren’t cheap, and they require constant monitoring, which adds to the cost. But this is all the more reason that you get your building’s electrical foundations right from the get-go.

Electrical installations require a strong baseline. This means that all the electrical components not only need to be of high quality, but they also need to be compliant.

The British Standards highlight the quality level of the components and the installation process itself. By following these standards, you can ensure that you get the best installation possible.

However, that doesn’t mean that the British Standards are bound to increase the budget of your installation. Far from it!

The British Standards highlight the type, quality, and compliance guidelines of components. When you understand the baseline of the components required, you can easily build a reasonable budget.

In fact, installation companies like Calder Electrical can source more affordable components for you and work with you to get you the best possible installation within your budget.

WHY CHEAP COMMERCIAL ELECTRICAL QUOTES OFTEN COST MORE IN THE LONG TERM

When gathering quotes from installation companies, it is tempting to sort the list based on the lowest price or focus on the lowest number on the page.

For landlords, retail units, offices, warehouses, and hospitality businesses across the UK, the budget pressure is very real. This is why many building owners may want to begin with the cheapest quote.

The sad reality is that in commercial electrical work, the cheapest quote is often the most expensive decision in the long term.

Think about it in the context of an appliance that you buy for your home. When surveying the market for the appliance, you will come across several options that are variably priced.

You decide to go with the cheapest option of the bunch and bring home the appliance. However, after a year, the appliance starts to show issues and doesn’t work as you expect it to.

Now it’s past the warranty period, and you can’t return it. So, you have the appliance serviced again, and again, and again.

This isn’t a hypothetical, but a reality many people face.

This analogy also extends to electrical systems. Sure, you may get a great deal, but over time, you will end up paying more, often more than the cost of a standard installation.

REASONS TO AVOID CHEAP COMMERCIAL ELECTRICAL QUOTES

Here are some of the top reasons why you shouldn’t shortlist your quotation list based on price alone:

Cheaper quotes hint at incomplete quotes

One of the biggest reasons why quotes vary so dramatically is that some contractors may not be pricing the same job correctly.

Typically, a detailed commercial electrical quotation should include the following:

  • Testing and commissioning
  • Containment systems
  • Fire stopping
  • Emergency lighting certification
  • Cable management
  • Access equipment
  • Out-of-hours working
  • Documentation and handover packs
  • Building Regulations compliance
  • Coordination with other trades
  • Future expansion capacity

When you get a cheap quote, there may be a chance that some of these items may not be accounted for. This is a common strategy for unprofessional companies where they later add the items as “variations” once work has started.

If you go with this type of quote, then what will begin as a bargain will eventually become a rolling stream of extra work and delays.

Commercial electrical work is complex

When you come across a very cheap quote, there is a strong chance that the quotation is too good to be true.

In most cases, new and inexperienced companies can try to undercut the competition by going with the cheapest rates. However, when work begins, and these inexperienced technicians realise the full scope, you can bet that they will fumble through the project.

Commercial electrical work isn’t the same as the electrical installation done on residential properties.

Commercial buildings often require the following:

Apart from these installation operations, commercial buildings also involve more administration, a thorough risk assessment, safety documentation, inspection, and project management.

So, the next time you come across a quote that is cheaper than the industry standard, just be alert.

Cheap labour now expensive labour later

Electrical work is heavily dependent on workmanship quality. Since these installations are all done by hand, they must be done carefully so as not to cause issues in the future.

Cheaper quotes usually result in rushed installations or the use of less experienced (hence, cheaper) labour.

These inexperienced companies may also skip proper testing or reuse old materials, which isn’t just dangerous but also non-compliant.

Less experienced technicians may not fully study the layout of the building and use subpar practices for cable routing and minimise commissioning time.

Initially, everything may appear functional. Things may even work well for a few months. But over time, and usually within the year, hidden defects start to surface.

These faults can manifest as the following:

  • Nuisance tripping
  • Overheating circuits
  • Poor load balancing
  • Faulty lighting systems
  • Downtime for tenants or staff
  • Repeated callouts

If you notice any of these “symptoms” in your building and you got the installation done cheaply, then it’s best not to repeat the same mistake and go with a professional this time around.

Compliance failures

Electrical compliance is crucial in the UK. It is one of the best ways that the UK has been able to bring down fire incidents due to electrical faults.

The British Standards highlight the compliance guidelines that need to be followed by electrical companies to establish compliance for the building that they are working on.

Commercial buildings in the UK must follow strict standards that include the following:

  • BS 7671 Wiring Regulations
  • Health and Safety requirements
  • Fire safety obligations
  • EICR requirements
  • Emergency lighting standards
  • Insurance requirements

Cheap contractors can omit these standards and sometimes reduce costs by skipping proper testing, using uncertified materials, avoiding documentation, and using subcontractors with weak oversight.

The price tag of this installation may seem attractive on paper, but you will likely be looking at failed inspections, delayed building sign-offs, insurance disputes, enforcement notices, and even legal or fire safety liabilities.

Downtime will cost more

The true cost of cheap installation isn’t just the eventual faults that will come along in the long term, but it is also the cost that your business will face during downtime.

Poor quality electrical work can interrupt retail trading, restaurant operations, office productivity, logistics, and even rental income.

If you think about it, you can potentially lose all the money that you “saved” by going with a cheap installation, by missing just a few days of trading hours due to the downtime.

Cheap quotation often ignores scalability

Commercial electrical contractors design with future expansion in mind. They always leave room for expansion projects down the road and keep the system scalable.

In fact, a scalable system is a hallmark of a professional installation. By leaving room for improvement, building electrical systems can easily scale up when needed without having to face downtime.

These scalable best practices may include the following:

  • Spare capacity in distribution boards
  • Additional containment
  • EV charging readiness
  • Energy monitoring capability
  • Flexible lighting controls
  • Future tenant modifications

By going with a cheap installation by an unprofessional company, you will solve only today’s problem and fulfil only the current requirements. However, when the business grows or regulations change, upgrading the system will become much more difficult, time-consuming, and prone to higher costs.

WHY DO REPUTABLE COMPANIES HAVE HIGHER ELECTRICAL QUOTES?

This is a self-answering question. The short version is that reputable companies often cost more because they follow industry standards and best practices to give you the best possible installation within your budget.

Diving deeper, the core reason why professional installations may seem a bit higher than the cheaper quotes is that these companies use qualified labour.

Qualified technicians who have the right training and experience are hard to come by, and in the world of electrical installations, you need someone who knows their way around the DB to make the right decisions for your building.

Insurance and compliance are also vital for these professional companies. Electrical installers such as Calder Electrical use guidelines outlined by the British Standards. They follow all the latest best practices and keep a lookout for policy changes that may impact your installation.

By following this strategy, these companies can fulfil the insurance and compliance requirements and help your building stand the test of time.

Professional installers also follow proper testing procedures, documentation, equipment, and project management practices.

When you combine everything, you get an installation that is foolproof and designed to help you get the most out of your initial investment.

Setting a strong baseline and foundation for your building will likely pay dividends, as you will rarely face downtime, legal problems, or liability issues that may impact your business.

On top of everything, professional installers will also give you warranty support and offer long-term accountability. So, even if there is a rare issue, you can simply rely on the installers to come and fix it quickly and effectively.

These overheads are not a waste and certainly aren’t redundant. They translate to a better quality of installation for your building with lasting results.

CHOOSING THE RIGHT INSTALLER FOR YOUR COMMERCIAL BUILDING

Instead of sorting your quotation list by the cheapest quote, commercial building owners should ask the following questions:

  • Is the scope detailed and transparent?

This will help determine if the quote matches your requirements to the T and is exactly what you want for your project.

  • Are testing and certification included?

Testing isn’t optional. If you want a long-term functional electrical installation, then you will have to include testing and obtain the right certifications/documentation.

  • Is the contractor accredited?

Accreditation and qualifications that attest to the quality and standard of the installer are important considerations when picking the right company. Certified companies like Calder Electrical are far more likely to get the job done without a hitch and give you a fully operational and long-term electrical system.

  • Does the quote allow for commercial compliance requirements?

The electrical company must follow compliance standards and conduct all the electrical work according to the British Standards. This includes leaving space for scalability in the system and creating slight redundancies to keep the uptime of the business intact over the long term.

  • Who handles project management?

Pick a company that follows a procedural workflow with clear People of Contact within the electrical company. The installer must assign a project team to your building, and you must be able to follow up and share plans with the team.

Companies that rely on revolving teams are a red flag since you will likely be talking to new people and explaining the scope from the start every time you meet them over weekly meetings.

  • Is aftercare included?

Some companies may offer little to no after-installation support. This is most likely true if you go with cheaper options in the market.

Cheap companies are designed to get the work done as quickly as possible and then disappear from the scene, leaving no room for accountability. Always make sure that the installer offers aftercare support, ideally by the same team that installed the components.

CONTACT CALDER ELECTRICAL

We have been providing electrical services to residential, commercial, and industrial properties for over 40 years and are specialists in all aspects of electrical installations, maintenance, and testing.

All our work is fully insured, and we work to meet the standards set by the NICEIC to make sure all your electrical installations meet the current regulations and all the notifiable work is signed off by the local authorities.

If you have unplanned issues within your home or business, we can provide a call-out service to rectify and solve any problems, such as circuit tripping, loss of power, broken items that need repairing, or to check if you feel something is unsafe or a potential hazard.

Our team can generate a Visual Inspection Report (VIR) to identify anything visual that does not comply with the standards or looks unsafe, as well as a full Electrical Installation Condition Report (EICR), where we will identify and test each circuit to make sure they are not deteriorating and are safe for use within the current standards and regulations set by the BS 7671.

We can also provide PAT testing of appliances to make sure that any items such as kettles, computers, and microwaves are safe for use in the home and workplace.

Contact us here or call us at 0800 612 3001 to get in touch with our professional electricians for more information on professional electrical installations and why cheap commercial electrical quotes often cost more in the long term.

Photo by George Slabov on Unsplash