This invitation to bid is a letter you can send out to potential contractors inviting them to submit a proposal for a job you have available
- Inviting a particular group of contractors to bid on your project
- Providing contractors considering submitting a proposal for your job a preliminary list of preferences and requirements
An invitation to bid solicits offers from people you may want to hire for a particular job.
When you send someone an invitation to bid, you are asking them to submit an offer of some good, service, or monetary amount in exchange for compensation or “consideration.” This kind of proposal is often the first step toward creating a legally-binding contract, but in some cases an invitation to bid will precede it.
Many jobs open to competitive bidding have a select professional market to solicit offers from. Before sending someone an invitation to bid on your contract, you should be clear on exactly what goods or services you are looking for, who you want to be involved in the job, and the consideration that the contractor will most likely require. Missing or incomplete information in an invitation to bid document will often lead to getting offers that are not suitable for your project.
All transactional documents involved in a job that solicits competitive bids should be drafted carefully. Parties to contracts are sometimes bound to terms in binding documents even if they were included as a mistake. While invitation to bid documents to not create a legally-binding contract in-and-of-themselves, they should be drafted and reviewed carefully before they are submitted.
This template will help you fill out a detailed, accurate, and complete invitation to bid document to solicit formal proposals from a select number of professionals. Businesses should be aware that an invitation to bid can initiate the process of legal contract formation, and as a result these documents should always be drafted with care.