What Is a Binding Estimate for a Commercial Move?

When considering commercial moves/business relocations, it may be difficult to understand certain terms and conditions. It doesn’t help when most paperwork is written these days using legal terminology the average person won’t understand. If you have ever felt this way when trying to differentiate between a binding estimate and a non-binding estimate, you are not alone. Read on to get it all straight and discover what a binding estimate can do for your commercial move.  

Binding vs. Non-binding: What’s the Difference?

A binding estimate simply means a guarantee on pricing with a contractual commitment. It means a moving company can’t charge any greater amount than what is specified in the estimate, even if additional charges occur during the move. On the other hand, a non-binding estimate means no guarantee on pricing and no contractual commitment. Cost can change based on inventory of customer goods, weight of shipment, services provided, and destination of shipment.

Understanding the 2 Different Types of Binding Estimates

The first type is “binding-not-to-extend,” which is most favorable to consumers because the consumer never pays more than the agreed upon amount, but can actually pay less than the estimated amount if the actual weight of the shipment is lower than the initial assessment. The second type is the binding estimate, which can also be referred to as the “fixed price” estimate because the price stays the same regardless of varying weight or any other costs incurred. This is considered the fairest option for both parties. Whether you’re looking for a binding estimate, a binding-not-to-extend estimate, or a non-binding estimate for your commercial move, make sure to research your options carefully and choose the best one for your company’s needs. Nilson Van & Storage pledges to send a qualified professional to assess your needs and offer a quote that will be both accurate and clear. For more information on commercial moves and business relocations, or to learn more about our various moving services, contact our team today.