16.3 Customer Information, Company Policies & Limits of Authority
Key Takeaways
An estimate is an approximate price, a quotation is a fixed price for a defined scope of work, an invoice requests payment, and a statement summarises the customer's account.
For contracts made in the customer's home or at a distance, consumers normally have a 14-day cancellation period under the Consumer Contracts Regulations 2013, and must be given cancellation information.
Handover information includes certificates, the Building Regulations compliance certificate, user instructions, warranties and as-fitted drawings.
Company policies on behaviour, timekeeping, dress code and the contract of employment shape working relationships and the company's image.
Apprentices and Level 2 staff work within limited authority and must refer requests such as extra work or price changes to their supervisor.
16.3 Customer Information, Company Policies & Limits of Authority
This section completes Unit 210 learning outcome 2. It covers the information given to customers, the company policies that affect working relationships, and the limits of personal authority at each level of the trade.
Information Given to Customers
| Document | What it is |
|---|---|
| Estimate | An approximate cost based on the information available. It is a guide and may change. |
| Quotation | A fixed price for a clearly defined scope of work. Once accepted, the price is binding unless the scope changes, in which case a variation is agreed. |
| Invoice | A bill requesting payment for work done or goods supplied, showing the amount, payment terms and VAT details if the company is VAT registered. |
| Statement | A summary of a customer's account showing invoices, payments received and the balance outstanding. |
| Statutory cancellation rights | Information about the customer's legal right to cancel (see below). |
| Handover information | Electrical certificates (EIC or MEIWC), the Building Regulations compliance certificate, manufacturers' user instructions, warranties, as-fitted drawings, operation and maintenance manuals, and a demonstration of how to use the installation. |
Statutory cancellation rights
When a contract with a consumer is made away from the trader's business premises (for example in the customer's home) or at a distance (online or by phone), the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 normally give the consumer 14 days to cancel. The trader must give the customer the cancellation information and a cancellation form. If that information is not given, the cancellation period can be extended by up to 12 months. If the customer asks for work to start within the 14 days and then cancels, they may have to pay for the work already done.
Separately, the Consumer Rights Act 2015 requires services to be carried out with reasonable care and skill.
Good practice when giving customers information
- Put it in writing. Quotations and estimates should describe exactly what is included and what is not (for example making good, decorating or removing old equipment), state how long the price is valid, and set out the payment terms.
- Make invoices complete. An invoice normally shows the company's name and address, an invoice number and date, a description of the work, the price, any VAT (if the business is VAT registered), the payment terms and how to pay.
- Agree changes before doing them. Any change to the scope or price is confirmed in writing as a variation before the extra work is carried out, so that the final invoice matches what the customer agreed.
- Explain the handover pack. Show the customer what each certificate means, where the main switch and RCD test buttons are, how to use any new controls, and who to contact if there is a problem. Keep copies of everything the company issues.
- Follow the complaints procedure. If a customer disputes an invoice or the quality of the work, record the details and pass them to your supervisor rather than arguing or promising a refund yourself.
Company Policies and Procedures
| Policy area | What it covers | Why it matters |
|---|---|---|
| Behaviour | Courtesy, appropriate language, respect for the customer's property, no smoking or vaping on customers' premises, sensible use of mobile phones and music | Customers judge the company by your behaviour, and good conduct brings repeat work and recommendations |
| Timekeeping | Start and finish times, breaks, and telling the office and customer if you will be late | Other trades and customers plan around you, and lateness damages trust |
| Dress code | Company uniform, ID badge, clean workwear and the right PPE | A professional image and security: customers know who is in their home |
| Contract of employment | Pay, hours, holidays, sickness reporting, notice periods, and disciplinary and grievance procedures | Both sides know their rights and duties, which prevents disputes |
Limits of Personal Authority
Every person on site works within limits set by their training, experience and role:
| Person | Typical limits of authority |
|---|---|
| Apprentice | Works under supervision and follows instructions; does not sign certificates, agree prices or extra work with customers, or work on or near live equipment unless authorised and supervised; asks when unsure |
| Level 2 qualified staff (improver) | Installs to drawings and specifications under direction; reports problems and variations; does not design, certify or agree extra work |
| Level 3 qualified staff (electrician) | Installs independently, inspects and tests, and may complete certificates where the company authorises it; supervises and guides apprentices |
| Supervisors and managers | Plan and allocate work, enforce health and safety, agree variations and prices, deal with complaints, sign off work and handle discipline |
Example: extra work requested by the customer
A householder asks the apprentice to "just add two more sockets while you're here". The apprentice should politely explain that they must check with their supervisor, note the request, and pass it on. The supervisor agrees the price and scope with the customer, and a written variation is issued before the work is done. Agreeing to it on the spot could mean unpaid work, an unsafe design (for example an overloaded spur) or a dispute later.
Important
Never accept cash for unofficial extra work. It breaks company policy, leaves the work uncertified and uninsured, and can lead to dismissal.
What is the main difference between a quotation and an estimate?
A quotation is a fixed price for the defined work, whereas an estimate is an approximate price
An estimate is legally binding on both parties, but a quotation is only a rough guide that can change
A quotation is only sent after the work is complete
There is no difference between them
A householder signs a contract for a rewire in their own home. Under the Consumer Contracts Regulations 2013, how long do they normally have to cancel?
24 hours
7 days
14 days
30 days
While you are working, the customer asks an apprentice to fit two extra sockets for cash. What should the apprentice do?
Fit them quickly and keep the money
Agree a price directly with the customer and add it to the company's invoice
Fit them free of charge as goodwill, as long as the supervisor is told later
Politely explain that they must refer the request to their supervisor
Which document would you send a customer to request payment for completed work?
Delivery note
Invoice
Method statement
Time sheet
Sections you finish are checked off in the contents.