Why Change Orders Quietly Destroy Profitability in Residential Projects

Most residential contractors think they lose money because of material price increases or slow crews. In reality, a huge part of the problem lives in the way they handle change orders. Small, informal requests accumulate over weeks and months until the final invoice no longer reflects the true amount of work delivered.

It rarely starts with a big argument. It starts with a friendly moment on site: "While you're here, could you also move this outlet?" or "Can we add two more recessed lights?" If that conversation never becomes a structured change order, someone is going to feel frustrated later: either you do the extra work for free, or the client refuses to pay because expectations were never aligned.

Without documented change orders, it becomes a negotiation instead of a simple review of approved items.
ReConto PRO changes that story. Each request becomes a structured change order with date, description, price and approval status.

A Typical Change-Order Story (That You Can Avoid)

Imagine you are remodeling a kitchen in a single-family home. You agreed on a clear scope at the beginning, but during demolition the homeowner changes the backsplash tile, upgrades the faucet and asks for under-cabinet lighting "if it's not too expensive".

None of those requests feel huge, so you say "no problem, we'll take care of it". Two months later, when you present the final invoice, the client is shocked. From their perspective, those were small adjustments inside the "same project". From your perspective, they required extra materials, hours and coordination.

Without documented change orders, it becomes a negotiation instead of a review of facts.

A Simple Framework for Handling Every Change Request

1. Treat every change as billable by default

Any change that adds work, risk or materials should be considered billable unless you explicitly decide to include it as a courtesy or discount. ReConto PRO helps you keep track so you can make those decisions consciously, not by accident.

2. Clarify the scope in writing before you talk about price

Many conflicts come from jumping straight to price: "How much to add lights?" is not a clear question. The AI assistant in ReConto guides you to clarify what exactly is being requested, what stays the same and what changes. Once the scope is precise, pricing becomes easier and more transparent.

3. Show the impact, not just the number

Homeowners and property managers are much more likely to approve a change when they understand not only the cost but also the impact on schedule and logistics. ReConto PRO helps you explain if the change will extend the project by a day, require extra visits or modify the original sequence of tasks.

4. Get written approval before your crew starts

The best time to align expectations is BEFORE the extra work begins. With ReConto PRO, you can send the change order from your phone or laptop directly to the client, capture their written approval and automatically link it to the project timeline.

5. Use your change-order history as a strategic asset

Over time, you will see patterns: which clients request more changes, which trades generate more extras, and which types of projects tend to expand the most. That information helps you price future jobs better and protect your margins from day one.

From Reactive to Proactive: What Changes When You Use ReConto PRO

When change orders are managed reactively, you are always one step behind: trying to remember who said what, looking for photos, exporting messages from your phone. When you use a structured system like ReConto PRO, every change follows the same clear path: captured → clarified → priced → approved → executed → billed.

That discipline is what separates contractors who constantly feel under pressure from those who can plan their cash flow, negotiate with confidence and grow a stable, healthy business.