Instructions to Bidders
How instructions to bidders gets you the right bid
When a tender opens for bidding the bidders may not have any idea about what are the specifics of the work that has t be done and this is why there is a provision of issuing instructions to bidders.
This is a document that outlines the requirements of the bid so that the bidder may be able to prepare a bid that is in line with the requirements of the company or employer who has put forth the bid.
The instructions to bidders must also contain
- the last date of submission of bid
- opening date f the bid
- evaluation of the bid
- awarding of the contract
This is an important document as it will invite the potential bidders who will be all prepared with all the requirements in consideration.
You must be able to put forth a specific date or all the work that goes in bidding as well as be able to list out all that you would expect in the bid.
The instruction to bidders has the following general items in the document
- The scope of bid which gives an idea about what nature of work is expected
- The fund allocation and how it should be used
- The requirements on the part of the bidder which may include their qualifications as well their experience
There are numerous things that can be instructed to the bidders. The more elaborate are the instructions the more responsive the bid will be. The bidders must always prepare their bid in accordance with the instructions so as to win the bid.
Sample Template Preview
Instructions for prebidding, description of items, and bid forms _________[date].
Instructions to Bidders
General. Bidders are requested to study carefully and conform to these “Instructions to Bidders” in order that their proposals be regular, complete and acceptable.
Proposals. All proposals shall be made on the forms provided. All proposals shall be legibly written in ink or typewritten.
Examination of site of work. Each bidder must examine for him or herself the location and extent of the proposed work and determine any unusual conditions or hazards to be met in performing the work.
Intent of bid. The bid being taken at this time is a prebid; the total cost of the project as given in this prebid will be the basis upon which the owner will finance the proposed remodeling. Therefore, it is imperative that the bids received at this time will be within _________ percent of the ultimate cost of the project, providing the items and quantities as given here on the scope of work and bid form do not vary more than the above mentioned _________ percent.
Plans and specifications. After the prebids are received and financing of the project is arranged, plans and specifications will be prepared for the proposed work.
Preference given to low bidder. The low and best bidder (based upon the prebid) will be given preference in the awarding of the work. After completion of the plans and specifications, the contractor shall revise his or her bid. The unit priced bid in the prebid will be used as a basis of comparative costs per item between the prebid and the ultimate price, and any adjustments required will be made on this basis.
Qualifications of bidders. Bidders will be required to submit satisfactory evidence that they have a practical knowledge of the work bid upon, and that they have the necessary financial resources to complete the proposed work. Due consideration will be given to the present ability, reliability, and general reputation of each of the bidders.
In addition to the above (due to the shortage of certain materials), each contractor should enumerate the amounts of materials on hand, or the availability of materials, as called for or required by the proposed work, and due consideration will be given in the selection of the best bidder.
Acceptance or rejection of proposals. The owner reserves the right to reject any or all bids.
Only one proposal will be accepted from one firm or association. Any evidence of collusion between bidders or of one firm having an interest in more than one proposal may constitute a cause for rejection of any bids so affected.
Complete. It is the intent that all of the items and quantities given in the prebid include every kind of equipment and accessories, all items and quantities of material and labor in any way essential to constitute a thorough compliance with the requirements indicated, specifically or through reasonable inference, finished and ready for the owner’s use without further additions of any nature.
Performance bond, insurance, etc. The successful bidder will be required to furnish a surety bond in the amount of 100 percent of the contract price. He or she will be required to carry compensation insurance and full liability insurance with limits for personal injury of _________ dollars ($_____) and _________ dollars ($_____) and property damage limits of _________ dollars ($_____) and _________ dollars ($_____).
- Application for Use, Occupancy and Building Permit
- Bid Depository Rules
- Bond of Contractor
- Cost-plus Contract
- Default of Subcontractor
- Liability Insurance 2
- Payments by Subcontractor for Labor and Materials – Right of contractor to pay unpaid bills.
- Termination of Subcontract and Completion of Work by Contractor
- Timely Completion
- Written Claims on Final Settlement