CONCRETE · CONCRETE AND MASONRY · FIXED BY STEP 04

Your Ready-Mix Quote Expired Eleven Months Before the Pour

Concrete has about a 90-minute working life from batch to placement, so your supply market is a haul radius with two or three plants. They quoted a market that's gone.

WHY IT IS A CONCRETE PROBLEM

A contractor buying wire, pipe, or lumber can lock a price, take delivery early, and sit on the material in a warehouse. You can't warehouse concrete for even two hours, so every yard is bought at whatever the price is the morning it pours, from a supplier with no real competition inside the haul radius. That makes escalation a structural exposure on your largest material line, not a bad-luck event.

WHAT IT COSTS

The size of it

On a package where ready-mix runs 30 to 45 percent of cost, a $15 to $20 per yard move across the pour schedule can take the whole profit on the job. It stays invisible because the estimate is carried at bid pricing and the variance only appears truck by truck on batch tickets nobody reconciles back to the bid.

OVERHEAD AT $1M–$5M
14%
CFOS target 13% for concrete.
GROSS MARGIN AT $1M–$5M
21%
CFOS target 23% for concrete.
NET PROFIT AT $1M–$5M
7%
CFOS target 10% for concrete.

A ready-mix quote is good for 30 to 90 days. The job runs 12 to 24 months, and escalation language is routinely struck out of hard-bid subcontracts before you sign. National average ready-mix moved from roughly $113 per yard in 2018 to about $180 per yard in 2024 and 2025, and the plants inside your radius know they're the only ones who can physically serve the site. You can't hedge it either, because there's no way to buy forward and store the product.

WHAT TO DO

Three moves, in order

STEP 01
Reconcile batch tickets to the estimate weekly in yards and dollars per yard, by placement, not once at job close.
STEP 02
Put the quote expiration date and the scheduled pour date next to each other on every bid with a schedule past 90 days, and price the months in between.
STEP 03
Ask the plant for a written price hold through a defined pour window, and where the GC strikes escalation language, carry the exposure as a priced line in the bid.
QUESTIONS

What concrete owners ask

Ready mix price went up after I bid the job?

Concrete has about a 90-minute working life from batch to placement, so your supply market is a haul radius with two or three plants. They quoted a market that's gone.

What does it cost?

On a package where ready-mix runs 30 to 45 percent of cost, a $15 to $20 per yard move across the pour schedule can take the whole profit on the job. It stays invisible because the estimate is carried at bid pricing and the variance only appears truck by truck on batch tickets nobody reconciles back to the bid.

What do I do first?

Reconcile batch tickets to the estimate weekly in yards and dollars per yard, by placement, not once at job close.

What are concrete contractors supposed to be making?

Concrete runs 21% gross margin, 14% overhead and 7% net profit before taxes at $1M–$5M. The all-trade average is 7%, so this trade sits right on it. The CFOS target is 10%.

Which part of the system fixes it?

The step is number 04, estimating system. The estimate maps one to one onto the job cost codes, so variance means something the day it appears. It comes from chapter 4 of CONTROL: The Construction Financial Operating System.

AUTHOR
Josh Luebker
JOSH LUEBKER
MASTER ELECTRICIAN · 150+ PROJECTS · $2.1B+ MANAGED

Josh Luebker ran commercial construction projects before he ran the numbers behind them, on data centres, military bases, hospitals, and high-rises. He wrote CONTROL: The Construction Financial Operating System, which is an eight-step framework for commercial subcontractors, and it publishes on October 1, 2026. He is a master electrician who moved into the office and kept the field vocabulary.

Sulphur Prairie Operations LLC maintains the benchmark reference behind these figures. Every edition is reconciled against the newest CFMA survey release before it publishes here. Where a figure changes between editions, the older edition keeps its year in the title so a citation to it stays correct.

Eight steps. Sixty days.

CONTROL is the full system, written for commercial subcontractors from under $1M to $100M. It publishes on October 1, 2026. Eight steps, six working templates, and the order they install in.