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A bid proposal is an explanation of the services or products offered at an estimated cost to a company. When the bid proposal is unsolicited, there is no contractual agreement between the bid recipient and its author. If the proposal is submitted in response to a request for proposal (RFP), it can be accepted as a bid later in the contracting process.
The bid proposal is often submitted with the use of a bid form. This can be handwritten or printed from software used for professional bidding. Generally, the form is completed in duplicate, with the one copy being kept on file by the bidder and the other sent to the business requesting the bid. Such a business proposal can include key points related to the completion of the job, including the time frame for completion, total cost, and materials needed to complete the job.
Depending on the type of job, the bid proposal could include a lot or a little information. A construction estimate, for instance, could include a complete list of materials needed to complete the project. A freelance writing bid, on the other hand, may list only the estimated time needed and total estimated cost.
The professional bid proposal often includes many key elements. The bidder may choose to begin the form with an executive summary, which can be used to explain why the bidder should be chosen for the job. This may be followed with a list of qualifications, the names of any subcontractors to be used on the project, and an overview of how the bidder will accomplish the major points of the bid request.
Next, a bidder can explain the terms of the bid and include a list of similar jobs that have been completed, along with details of any past projects that are relevant to the proposed work. A safety plan may also be added, if applicable, to describe the steps that will be taken to minimize injury and any loss of work time. Such a plan is typically included only if a job will require physical work.
After the bid form is written, proofreading the information may help to ensure it is complete and eliminate any spelling or grammatical errors that could be seen as unprofessional. Following this step, the bidder usually signs and submits the form. Proofreading can be a vital step because many bid proposal are not accepted because they are incomplete.