Colin,
Without seeing their site(s), I cannot really comment (maybe you could put them up here minus the www. bit).
I have been doing SEO for a couple of companies for a while now and my first question would be "optimised for what?".
You see, although "on site" factors such as titles, descriptions, keywords and site structure are important, a search engine such as Google ranks a site predominantly on "offsite factors" ie. how other sites relate to yours.
By this I mean things such as the number and quality of sites linking to yours (there are a lot of other factors but this is still the best long term solution).
This has to be achieved by you after the site is built and up and running.
Another common trick is to get ask you to type a search term into say, Google.
When the results come up, low and behold, there is one of their sites on the front page. The problem is that often, no-one actually searches for that term (so optimising for that is a waste of time).
If someone says "what would you like to rank for?" this should ring alarm bells. A decent SEO person should tell YOU what you should be ranking for, based on search term research.
At that price I would imagine they are using a template design, rather than design it from scratch.
Hope this helps,
Garry.