5 Ways to Stop Running Over Budget on Interior Projects

Sarah Jenkins

Sarah Jenkins

Product Expert

Nov 05, 2023
6 min read
5 Ways to Stop Running Over Budget on Interior Projects

"Oh, while you're at it, could you just add a shelf here?" That innocent question is the number one cause of budget death.

1. Kill Scope Creep with Change Orders

Clients don't realize that adding one custom shelf involves a carpenter, material, polish, and your time. You must normalize the "Change Order." Whenever a client requests a change that wasn't in the signed BOQ, immediately say: "Great idea! I'll draft up a Change Order with the cost and timeline impact for your approval." This stops casual, unpaid requests instantly.

2. Use Strict Material Allowances

When quoting before final material selection, use strict, stated allowances. e.g., "Flooring allowance: ₹150/sqft." Ensure the contract states that if they select a ₹250/sqft Italian marble, the difference will be billed as an overage. Don't eat the cost because they fell in love with a premium material.

3. Track Expenses in Real-Time

If you wait until the end of the month to tally receipts, you are managing by looking in the rearview mirror. You need a system (like Interify) where site supervisors log expenses the moment they happen via phone, instantly updating your project dashboard.

4. Lock in Vendor Pricing Early

Material costs fluctuate. If you quote a client based on January prices but execute in June, you might lose your margin to inflation. Issue Purchase Orders to lock in rates as soon as the client signs the contract, or stipulate a 30-day validity on your quotes.

5. Build Safety Buffers

A project without a contingency buffer is a ticking time bomb. Always include a flat percentage (usually 10%) for unseen civil issues, breakages, or logistical delays. It is better to refund unused contingency funds and look like a hero than to ask for more money halfway through the job.

Sarah Jenkins

About Sarah Jenkins

Sarah is a regular contributor to Interify, focusing on how technology is reshaping the boutique design industry in India. With over a decade of experience in operations, she helps studios bridge the gap between creative vision and business reality.