Quick answer: in an estimate vs quote choice, an estimate is your best guess at the price and can change, while a quote is a fixed price for a defined job that you are expected to stick to. Send an estimate when you cannot see the full scope yet, and a written quote once you can.
Both documents have a place in a trade business. The trouble starts when the customer thinks they have one and you think you sent the other. This guide explains the difference in plain English, when to use each, how to word them so nobody is caught out, and how to move from a rough figure to a firm price without losing the job.
An estimate is an informed guess; a quote is a firm offer. The Federation of Master Builders puts it simply in its guide Five things you need to know about getting a quote for building work (1 August 2023): there is "a big difference between an estimate and a detailed quote", and a detailed quote "is an agreed price for the job" that should always be written rather than verbal.
In practice that means:
Once a customer accepts it, a quote generally becomes part of your contract, so you should expect to be held to it. For consumers, section 50 of the Consumer Rights Act 2015 says that what a trader says or writes about the service is treated as a term of the contract where the customer relies on it when deciding to go ahead.
An estimate does not lock the price in the same way, but it is not a blank cheque either. Where no price has been agreed, section 51 of the same Act says the customer must pay a reasonable price, and the official explanatory notes describe what is reasonable as "a question of fact". If your final bill is far above your estimate with no good reason and no conversation along the way, expect a dispute. This is general information rather than legal advice; for a contract question on a specific job, speak to a solicitor or your trade body.
Send an estimate when you genuinely cannot price the whole job yet. Common examples:
Even then, give the estimate structure. State what it is based on, what could change it, and when you will be able to give a firm price. A range ("between £2,800 and £3,400 depending on what we find under the floor") is clearer than a single number that looks fixed.
Send a quote as soon as you can see the full scope. Customers comparing two or three trades usually prefer a fixed price, because it is easier to compare and easier to say yes to. A clear written quote also protects you: it records exactly what is included, so extra work becomes a separate, agreed change rather than an argument at the end.
A good quote includes the scope of work, materials, what is excluded, the price with or without VAT stated clearly, how long the price stands, payment terms and any deposit, and a start window. Our builders quote template has a copyable layout with every part listed.
Label it clearly and explain what it is not. Small wording choices prevent most disputes:
Then do what you said. Calling the customer the moment you find something unexpected is what keeps an estimate fair in their eyes.
Speed matters most. The longer the gap between a rough figure and a firm price, the more likely the customer accepts someone else's quote in the meantime. A simple routine:
Unavoidable CRM, from Unavoidable Studio, is built for UK trade and service businesses. On its features page you can see how quotes work: branded quotes that customers view, sign and accept online, good, better and best options on one quote, and a price book that fills in your services and prices in one click. When a quote is accepted the job moves to won, and you can raise the invoice straight from the accepted quote, take a deposit and split larger jobs into instalments. See how it fits your trade on our CRM for trades page, or start the 14-day free trial.
You can, if the job turns out bigger than you could reasonably have known and you explain why. The fairest way is to stop, tell the customer what you found and agree the extra cost before doing it. A final bill well above the estimate with no warning is the usual cause of disputes.
There is no fixed rule, so state it on the quote. Many trades use about a month, and shorter periods make sense when material prices are moving quickly. After that date you can review the price before the customer accepts.
Most trades give estimates and quotes for free to win the work. Some charge for detailed surveys or design work on large jobs and deduct the fee if the customer goes ahead. If you charge, say so before you visit.
A verbal agreement can still form a contract, but it is hard to prove what was said. A written quote protects you and the customer, and the Federation of Master Builders advises that a detailed quote should always be written.
Related: free UK invoice template, builders quote template, quote follow-up for trades and all guides on the blog.
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