At Reliable Design-Build-Remodel, we know that finding the right commercial contractors in Birmingham, AL can be a critical decision for your business. Whether you’re planning a new commercial build, a renovation, or a tenant improvement project, understanding how commercial contractors operate—including how they charge, estimate, and structure fees—is essential to making an informed investment. With decades of experience serving the Birmingham community, we’re here to help clarify these topics and offer transparency in a sometimes confusing part of the industry.
How much do commercial contractors charge per hour?
Hourly rates for commercial contractors in Birmingham, AL can vary depending on several factors including the size and scope of the project, the contractor’s experience, and the services being provided. On average, commercial contractors may charge anywhere from $50 to $150 per hour. For specialized services such as electrical or HVAC work, subcontractors may charge rates on the higher end of this range, or even more. At Reliable Design-Build-Remodel, we work closely with our clients to structure fair, transparent pricing—often combining hourly labor with fixed project estimates—to ensure no surprises down the line. We also emphasize value, meaning that our rates reflect not only the work being done, but the peace of mind you receive with a job completed to professional standards.
What is a reasonable contractor fee?
A “reasonable” contractor fee is typically determined as a percentage of the total project cost. In commercial construction, this fee often ranges between 10% and 20%. This fee covers a contractor’s overhead, project management, risk, and profit. The complexity of the job, timeline, materials, and subcontractor coordination all factor into the final number. For example, a fast-track commercial renovation with many moving parts might incur a higher fee due to the logistical challenges. At Reliable Design-Build-Remodel, we strive to be upfront about our contractor fees and provide detailed breakdowns so our clients understand exactly where every dollar is going. Our goal is to strike the perfect balance between competitive pricing and top-tier craftsmanship.
How do you estimate commercial construction?
Estimating commercial construction is both an art and a science. The process typically begins with a comprehensive evaluation of the project scope, architectural plans, materials, and labor requirements. Estimators will then compile costs for each element—materials, subcontractors, permits, and labor—before adding in allowances for overhead and profit. At Reliable Design-Build-Remodel, we utilize both historical cost data and current market pricing to create detailed and accurate estimates. We also engage in transparent dialogue with our clients throughout the estimating process. This collaboration ensures your budget goals align with your project vision, and allows for adjustments before construction begins. We believe in setting realistic expectations from day one.
Is it OK to negotiate price with a contractor?
Yes, it is absolutely OK to negotiate price with a contractor—provided it’s done respectfully and with a shared understanding of the project’s value. Most reputable commercial contractors in Birmingham, AL, including Reliable Design-Build-Remodel, welcome open conversations about scope, budget, and options. In fact, negotiations can help refine a project’s priorities and uncover cost-saving alternatives that still deliver strong results. That said, we always caution clients not to prioritize the lowest bid over quality, especially in commercial work where durability, code compliance, and long-term usability are crucial. We believe in fair pricing, and we’re more than willing to adjust our proposals when there are mutually beneficial ways to save without compromising excellence.
Do contractors mark up labor?
Yes, most commercial contractors do include a markup on labor, as well as materials and subcontractor costs. This markup helps cover the contractor’s overhead—things like insurance, supervision, administrative costs—and ensures the business remains financially sustainable. Markups are standard across the industry and typically range between 10% and 30%, depending on the level of complexity, risk, and involvement required. At Reliable Design-Build-Remodel, we’re committed to transparency in how we price our labor and services. Our clients receive itemized quotes that make it easy to understand where markups are applied and why. We believe you deserve clarity, especially when investing in something as important as your commercial property.
At Reliable Design-Build-Remodel, we’ve built a reputation in Birmingham for integrity, skill, and customer-focused service. Whether you’re planning a retail fit-out, office remodel, restaurant build, or any other commercial construction project, our team is here to guide you every step of the way—from initial planning to final walkthrough.
Understanding the ins and outs of commercial contracting—from hourly rates to contractor fees and construction estimates—empowers you to make the best decisions for your business. We invite you to reach out with any questions or to schedule a consultation. Your vision deserves a partner who is both reliable and committed to excellence—and that’s exactly what we deliver.
Reliable Design-Build-Remodel is a full service general construction firm and remodeling contractor operating in the Birmingham metro and Jefferson and Shelby County areas and surrounding communities, including Birmingham, Helena, Chelsea, Mountain Brook, Hoover, Homewood, Montevallo, Alabaster, Vestavia Hills, and Pelham, with over 30 years of servicing our valued clients. Offering full service suite of general remodeling, design and build services. Our specialties include bathroom remodeling, kitchen remodeling, exterior renovations, interior renovations, painting, and more!
Visit us at reliablerem.com, and like and follow us on Facebook and Instagram!
