How to Compare Elevator Service Bids (Apples to Apples)

howTo: steps: - name: "Compare coverage type" text: "Check if each bid offers Full Maintenance, Examination, or Limited Coverage. Not what the sales rep calls it but what the contract defines as covered. If parts are included, verify which parts. If parts are excluded, check which categories." - name: "Verify machine coverage" text: "Confirm whether the traction machine or hydraulic power unit is explicitly included or excluded. These are the most expensive components ($30K-$80K). Find the clause that says machine included or excluded." - name: "Calculate 5-year escalation cost" text: "Don't compare year-one rates. If the contract says CPI plus 3 percent, assume 6-8 percent compound annual increases. Run the math to compare total 5-year cost across all bids." - name: "Check response time guarantees" text: "Verify if response times are guaranteed or just targets. Check what qualifies as emergency versus standard response. 30 minutes for entrapments is industry standard." - name: "Review component exclusions" text: "List what's excluded in each bid: controller boards, door operators, cab panels, communication systems, hydraulic fluid, cosmetic items. Compare lists across bids. Shorter exclusions mean more comprehensive coverage." - name: "Review contract term and renewal notice" text: "Check the contract length, renewal notice window (60, 90, or 180 days), what happens if you miss the window, and how much notice you need to terminate." - name: "Compare termination penalties" text: "Verify the early termination cost. 50 percent of remaining contract value is standard. Higher penalties are aggressive. Lower penalties give you flexibility if service deteriorates."

You have three elevator bids on your desk. One is $2,000/month. One is $2,800. One is $3,200. The $2,000 bid looks like the obvious winner.

But here's what you haven't compared: scope, exclusions, escalation, and contract terms. That $2,000/month bid might cost you $15,000 more than the $3,200 bid over five years. The cheapest bid is rarely the cheapest contract.

Property managers compare monthly rates because monthly rates are what vendors highlight. But monthly rate is a single data point in a contract with dozens of variables. Miss any one of them and you're signing up for surprise bills.

Why Bids Look Different

Three vendors. Three prices. Same building. Why the spread?

Because they're not quoting the same thing. Even if all three proposals use the term "Full Maintenance," the coverage underneath can vary dramatically. Here's where differences hide:

Coverage type. Full Maintenance covers parts and labor. Examination covers labor only. Limited Coverage lands somewhere in between. These aren't subtle differences. FM costs roughly double what Exam costs, but FM absorbs $8,000 to $80,000 repair bills that Exam passes to you. A lower monthly rate on Exam looks attractive until the first parts invoice arrives. For a detailed breakdown, see our guide to Full Maintenance vs Examination contracts.

Machine exclusions. Many contracts exclude the most expensive components. Traction machines run $60,000 to $80,000. Hydraulic power units run $30,000 to $50,000. Two vendors can both offer "Full Maintenance" while one excludes the machine entirely. Same label. Different exposure.

Escalation clauses. One bid says "flat rate." Another says "CPI + 3%." The flat bid looks more expensive in year one. But at 6-8% compound annual increases, the escalating bid costs $15,000 to $21,000 more over five years. We cover the math in detail in our escalation clause breakdown.

Service level differences. Guaranteed 30-minute response for entrapments. Or 1-hour "target" response. Or "best effort." These differences don't show up in the monthly rate. They show up when someone's trapped in your elevator and the vendor arrives in 90 minutes.

Component-level exclusions. Controller boards ($8,000-$12,000). Door operators ($20,000-$23,000). Cab panels. Telephone systems. Older equipment. The cheaper bid often has a longer exclusions list. These items eventually fail. When they do, you pay.

Contract terms. Three-year term with 60-day renewal notice. Or five-year term with 180-day notice. Or 10-year term with automatic renewal. Miss the notice window by a week and you're locked in for another full term at whatever rate they've escalated to. The monthly rate doesn't reflect the lock-in risk.

The Apples-to-Apples Checklist

Line up the bids side by side. Compare these seven items:

1. Coverage Type

Full Maintenance, Examination, or Limited Coverage. Not what the sales rep calls it. What the contract defines as covered. If parts are included, which parts? If parts are excluded, which categories?

Red flag: "Full Maintenance" with an exclusions list that runs longer than the coverage section.

2. Machine Coverage

Is the traction machine or hydraulic power unit explicitly included? These are the most expensive components in the system. Many FM contracts exclude them. Find the clause that says "machine included" or "machine excluded." If you can't find it, ask.

Red flag: "Major components excluded." Define "major."

3. Escalation Clause

Calculate the 5-year total, not the year-one rate. If the contract says "CPI + 3%," assume 6-8% compound annual increases. Run the math. Compare total 5-year cost across bids. The vendor quoting $2,000/month at 8% escalation will charge you $140,799 over five years. The vendor quoting $2,200/month flat will charge you $132,000. The lower year-one rate is a mirage. For more on how escalation clauses compound, see our contract hidden cost analysis.

Red flag: "CPI + X%" where X is greater than 2%.

4. Response Times

Is the response time guaranteed or a "target"? What qualifies as emergency response versus standard? 30 minutes for entrapments is industry standard. 1 hour is slower. "Best effort" means no commitment.

Red flag: No defined response window. Or response window that varies by issue type without defining categories.

5. Component Exclusions

Controller boards, door operators, cab panels, communication systems, hydraulic fluid, cosmetic items. List what's excluded. Compare lists across bids. The shorter the exclusions list, the more comprehensive the coverage. These items fail eventually. Someone pays for them.

Red flag: "Routine maintenance parts only" without defining what qualifies.

6. Contract Term

How many years? What's the renewal notice window? 60 days? 90 days? 180 days? What happens if you miss the window? How much notice do you need to terminate?

Red flag: 10-year term with 6-month notice. That's near-permanent lock-in.

7. Termination Penalty

If you want out early, what does it cost? 50% of remaining contract value is standard. Higher penalties are aggressive. Lower penalties give you flexibility if the service deteriorates.

Red flag: 100% of remaining value or "liquidated damages" clauses that exceed 50%.

Using Quotes as Leverage

You don't have to accept the first number. Competitive quotes are negotiation tools.

Get an independent quote first. Present it to the OEM with a scope comparison. Ask: "Can you match this?" OEMs often will, especially if they see they're about to lose the contract. But this only works if the scopes actually match. If the independent is quoting Exam and the OEM is quoting FM, the rate gap is justified.

Competitive pressure works when both parties are quoting comparable coverage. Find the differences first. Then negotiate on price.

What Happens If You Compare Blind

You sign the $2,000/month bid. Two years in, the controller board fails. Your vendor sends you an $11,000 invoice. "Not covered under your contract." You check. It's right there in the exclusions list on page 3, paragraph 7, subsection (c).

You now have an $11,000 surprise. And you're locked into year 3 of a 5-year contract with a vendor who sold you coverage that didn't exist.

This is how buildings overspend on elevators. Not by choosing expensive vendors. By choosing cheap vendors who sold incomplete coverage. The repair bills arrive later. They always arrive.

Compare Bids Like a Pro

Don't compare bids blind. Upload both contracts to our Contract Scanner. We'll show you exactly what's covered in each, flag scope mismatches, and calculate your true 5-year cost. Compare bids like a pro in 60 seconds.