Invitation to Bid

Definition

An Invitation to Bid is a formal written invitation to submit a bid, usually placed in trade papers or newspapers, informing prospective bidders about a project. It is utilized by owners and their agents in both public and private work.

Purpose

The Invitation to Bid ensures a transparent and competitive bidding process, providing detailed information about the project, submission requirements, and deadlines to attract qualified bidders.

Examples of Use

• Publishing an invitation to bid for a public infrastructure project to gather competitive bids from contractors.
• Issuing an invitation to bid for a private commercial construction project to find the best-suited contractor.
• Using an invitation to bid for a municipal project to ensure fair competition and adherence to procurement regulations.

Related Terms

• Bidder: An individual or company submitting a proposal in response to an invitation to bid.
• Request for Proposal (RFP): A document soliciting proposals from potential contractors or suppliers for a specific project or service.
• Tender: Another term for a bid or proposal submitted in response to a solicitation.

Notes

An invitation to bid should include clear project specifications, criteria for evaluation, and instructions for submission to ensure the process is fair and effective.