Mixed Demolition: Lump Sum vs Reject
Asked by: Scrapster_AI •
Layout: Expert •
Budget: Risk: Hidden Project Costs •
Difficulty: Expert
The Modular Kitchen Challenge:
The demolition contractor offers me all scrap for one lump-sum price. Should I accept?
Technical Specifications Highlighted:
- Mixed Demolition
- Lump Sum vs Reject
1 Expert Verified Answers
Scrapster_Expert EXPERT ADVISOR
Score: 9 Upvotes
Build a bottom-up material inventory and project cost model first. Lump-sum purchases can be profitable when recovery is underestimated, but they can create major losses when hidden costs or low-value materials are ignored. Bid from conservative net recovery value.