Welcome to Step 2 in our Mastering Organizing Project Management series! This series is designed specifically to help you learn how to manage large organizing projects.
If you haven’t yet had a chance to check out Step 1: Planning, you can find it on our blog.
Now, it’s time for Step 2: Budgeting
For large and complex organizing projects, clients will want to know the expected costs up front. If you are managing a large organizing project, you will certainly need to create a proposal or estimate for the client. In order to estimate the cost, you will need to create a budget.
Here are the three main things you’ll need to factor in when creating a budget:
- What does your time include? Are you just coordinating, are you going to be working onsite? Your time can include any or all of the following: coordination, research, shopping, communication, supervising and of course, hands-on organizing.
- What are the other costs involved? Are you bringing in a team of organizers? Will you need outside vendors (junk removal, handyman, movers, etc.)? Be sure to get specific quotes from your vendors and know what you’re paying your subcontracts.. Also, make sure you have all the cost contingencies. For example, a dumpster may cost $300, but there is often an additional per-pound charge for disposal, as well as costs for disposing of items such as mattresses or TVs. Movers charge by the hour, but what about boxes and packing materials? Make a list of all the associated costs and make sure you know what they will be.
- How much of the project will the client be assisting with? Take into consideration any client resources (such as friends and family) for both labor and other services. You never know. We once had a client who’s cousin owned a metal scrap yard and picked up everything for free!
Once you have the budget put together, you will need to:
- Provide your client with a proposal that includes a thorough breakdown of costs and review the budget with them before starting the project.
- Get your client to sign off on the budget. This is important! You want to make sure they are clear on and agree to the costs upfront, so there are no surprises and no disappointment.
- Consider taking a deposit or having them pay in advance. You don’t want to get stuck with the bill for all of the additional materials, subcontractors and vendors. It adds up!
Follow these steps and you’ll have an accurate budget for your organizing project!
Stay tuned for Step 3: Coordinating
Want to learn it all now? We have a special program: How to Work with Organizing Clients that includes a comprehensive course on Organizing Project Management, as well as a course on Estimating Time and Writing Proposals. You’ll learn everything you need to know to become an awesome project manager!