Why budget quotes often lead to expensive consequences
In April 2025, South Africa saw another 109 businesses undergoing liquidation, taking the total number of closures to 482 for 2025 thus far. During tough economic times many businesses hit pause on investment and development activity, under pressure to control costs and taking a “wait-and-see” approach. One of the first places they look to cut corners is in fire protection. After all, if nothing has gone wrong before, it can feel like an easy area to “save”, but this mindset is exactly what turns manageable risk into unmanageable loss.
In the fire protection industry, especially here in South Africa, where insurance requirements and compliance with SANS 10400-T and SANS 10287 are strict, the cheapest option is often not the most economical in the long run. The consequences can be catastrophic.
The Allure of a Low Quote
When comparing fire system quotes, a much lower number can seem appealing, especially when operations in areas like Johannesburg, Midrand, or Kempton Park are already feeling the financial squeeze. “Cheaper” often hides serious compromises:
- Inferior materials that degrade faster and aren’t compliant with SABS/SANS standards.
- Unskilled or non-accredited installers, which leads to incorrect placement, non-functioning valves, or a failed inspection.
- No long-term support or guarantees, which means no accountability when something goes wrong.
In the real economics of fire protection, what might have seemed like a R30,000 saving upfront can easily become a R300,000 liability when a system fails under pressure, or worse, during a real fire.
Compliance Isn’t Optional
In South Africa, fire protection isn’t just a best practice. As Elite Fire Protection has been demonstrating for quite some time now, it’s a regulatory and insurance requirement. Choosing a substandard provider or skipping proper servicing could result in:
- Failed Fire Safety Certificate approvals.
- Voided insurance claims after a fire.
- Penalties or shutdowns from the fire department.
- Increased liability for loss of life or injury.
The reality is insurers, and municipal authorities aren’t concerned with what you meant to do. They want evidence of proper maintenance, design sign-off, and qualified installation in line with national standards. If that’s missing, even a valid insurance policy might not pay out.
A Real-World Wake-Up Call (Imagine This)
Picture this: you’re a manufacturing facility in Johannesburg South, operating under tight deadlines with valuable stock and equipment onsite. You opt for a low-cost fire protection installer who promises a quick turnaround at 20-30% below market rates. At the time, it feels like a smart move, a budget-friendly tick-box for compliance.
A few months later, a small electrical fire breaks out in the packaging area. The fire system activates, or rather, tries to. The water pressure is insufficient, the pump room hadn’t been commissioned correctly, and crucial fire zones were left uncovered.
The result? Over R2 million in damage, days of downtime, and a rejected insurance claim due to non-compliant installation. And suddenly, that “cheap” quote becomes the most expensive decision you’ve made this year.
Fire Protection is Not a Commodity
A common misconception is that all fire protection systems are the same. A commodity service that doesn’t need expertise. This couldn’t be further from the truth.
Designing and maintaining effective fire protection requires:
- Thorough assessments for the type of hazard and occupancy.
- Correct hydraulic calculations for water supply and pressure.
- Ongoing compliance inspections and reports.
- Use of SABS/SANS-approved materials.
- A provider that understands local building and insurance requirements.
When you choose the lowest bidder, these critical elements are often stripped away. Not out of malice, but out of necessity to meet the reduced budget.
The True Cost of Ownership (TOC)
The real cost of fire protection should be calculated over the lifespan of your building or system. This includes:
- Installation
- Annual servicing
- Emergency call-outs
- Repairs and parts
- Compliance re-certification
- Risk of downtime or insurance claims
What you’ll find is that the upfront savings are often suppressed by long-term costs, whether that’s through ongoing repairs, fines, or complete system replacements.
What To Look for in a Fire Protection Partner
Before choosing a fire protection service provider, here are five things to check:
- Are they SANS-compliant and registered or accredited with relevant bodies? (e.g. NFPA, ASIB, FPASA).
- Do they offer comprehensive designs with engineer sign-off? You want more than just a one-size-fits-all system.
- Do they provide lifecycle maintenance plans? This includes annual inspections and long-term servicing.
- Can they demonstrate experience in your industry (or similar)? Warehouses, manufacturing, and logistics all have unique risks.
- Do they offer reliable support and fast response times? In an emergency or compliance issue, you need a partner who shows up, fast.
At Elite Fire Protection, we’ve seen too many businesses come to us after a failed inspection or a fire-related disaster, asking us to fix what should’ve been done properly the first time. It’s never a good position to be in. For them or for us.
Final Thoughts
In fire protection, cheap isn’t just cheap, it’s dangerous.
While everyone wants to manage costs, the smartest businesses don’t look for the lowest price, they look for the highest value. What’s at stake isn’t just compliance. It’s your stock, your equipment, your staff, your reputation, and your ability to bounce back after a crisis.
So, before you sign off on that suspiciously low quote, ask yourself:
What is it really costing you not to do this properly?
At Elite Fire Protection, we don’t aim to be the cheapest, we aim to be the most valuable.
