Multi-Phase Premium Explained

Rule: +15% pre-margin cost for each additional active phase

This premium accounts for the increased complexity, coordination, and mobilization costs when performing multiple cleaning phases on a project.

How It Works:

Active PhasesPremium CalculationTotal MultiplierCost Impact
1 phase (any single phase)No premium1.00×Base cost
2 phases (e.g., Rough + Final)+15% × 11.15×+15%
3 phases (Rough + Final + Fluff)+15% × 21.30×+30%

Formula:

Multi-Phase Multiplier = 1.0 + (0.15 × (number_of_phases - 1))

Why This Premium Exists:

  1. Multiple mobilizations – Crew and equipment must come to site multiple times
  2. Project management overhead – Coordinating with GC for multiple phase schedules
  3. Quality control – Each phase requires inspection and sign-off
  4. Storage/staging – May need to maintain supplies on-site between phases
  5. Scheduling complexity – Working around other trades between phases
  6. Administrative burden – Multiple invoices, documentation, walkthroughs
  7. Risk factor – More opportunities for delays, damage, or rework

Real-World Examples:

Scenario 1: Final Clean Only (1 phase)

  • 10,000 ft² office
  • Labor cost: $5,000
  • No premium = $5,000 total labor

Scenario 2: Rough + Final (2 phases)

  • Same 10,000 ft² office
  • Base labor: $5,000
  • +15% premium = $5,000 × 1.15 = $5,750 total labor

Scenario 3: Rough + Final + Fluff (3 phases)

  • Same 10,000 ft² office
  • Base labor: $5,000
  • +30% premium = $5,000 × 1.30 = $6,500 total labor

How It Interacts with Phase Weights:

The premium is applied after the phase weights calculate base hours:

  1. First: Calculate hours based on phase weights (30%/50%/20%, etc.)
  2. Then: Apply the multi-phase premium to the total cost
  3. Finally: Add margin on top

Important Notes:

  • This is pre-margin – applied before profit margins (Market-Win/Lean/Profit-Heavy)
  • The premium is locked – cannot be changed without product approval
  • It ensures profitability when managing the complexity of multi-phase projects
  • This is separate from “passes” (doing the same phase multiple times)

The 15% per additional phase reflects the real operational cost of returning to a job site multiple times and coordinating with construction schedules.

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