How do I calculate annual construction volume (ACV)?
Explains how Annual Construction Volume is calculated from a customer's turnover and how it determines their pricing tier.
Your Breadcrumb subscription is priced on your Annual Construction Volume (ACV). ACV is the total value of construction work your business expects to deliver over the next 12 months.
Pricing on ACV means your subscription grows with the amount of work you do, not the number of people using it. Every plan includes unlimited users, support and data storage.
How to work out your ACV
There are two ways to estimate it. Use whichever gives the most accurate picture of the year ahead.
Option 1: Start from your turnover
If most of your revenue comes from construction work, your projected construction turnover for the next 12 months is a good estimate of your ACV.
Leave out revenue that is not construction work, such as property sales, rental income or consulting.
Option 2: Add up your projects
If your work is project-based, or your turnover does not reflect your construction activity, add up the value of the projects you will be running over the next 12 months.
For projects longer than a year, only count the share of the contract value that falls within those 12 months. The simplest way is to spread the value evenly over the project's length:
Annual value = contract value ÷ project length in months × months within the next 12 months
Example
| Project | Contract value | Length | Months in the next 12 | Counts towards ACV |
|---|---|---|---|---|
| Apartment build | $18M | 18 months | 12 | $12M |
| Office fit-out | $3M | 6 months | 6 | $3M |
| School upgrade | $8M | 12 months | 3 | $2M |
| Total ACV | $17M | |||
How ACV sets your price
Your ACV places you in a pricing tier. Each module you choose is priced against that tier, and the total makes up your annual subscription. Your Breadcrumb account manager will confirm your tier and the price for each module in your quote.
The ACV you agree on is recorded in your contract as your ACV cap.
When we ask for your ACV
- When you first sign up: to prepare your quote.
- Before each renewal: we ask for your projected ACV for the coming 12 months, usually about two months before your renewal date. If your volume has grown or shrunk, your renewal quote reflects that.
Common questions
What if my ACV changes during the year?
Your price is set for the contract term based on the ACV you agreed. If your volume grows well beyond it, we may talk with you about updating your subscription at renewal, or during a multi-year agreement. We will always discuss any change with you first.
Should I include work done by subcontractors?
Yes. ACV covers the full value of the construction work you deliver, including work you subcontract.
I'm not sure what my ACV is
Give your best estimate and talk it through with your account manager. They can help you work it out from your turnover or upcoming projects.