One of the most critical parts of obtaining a contract in New Jersey is successfully navigating the bidding process. Whether you are a subcontractor pitching services to a general contractor or
choose a subcontractor to get the job done, it is important to do your research and know how to properly navigate the bidding process.
While an estimate often refers to the subcontractor’s material and labor, the bid is the final offer given to the client.
What goes into creating a bid?
The key to creating an optimal bid is finding the most accurate cost estimation and pairing it with the lowest price possible. You want to start by carefully analyzing the construction plans and determining the cost of the materials needed to complete the job. Keep in mind, there may be other factors that go into determining a bid, including how the project is going to be delivered and what type of payment contract is set up.
What key points should you include?
In addition to using clear and concise language to ensure you are portraying an accurate bid, there are some key points you may want to include:
- Remember the details. Customize your bid to the details given in the project specifications.
- Do not forget to include licensing, labor, transportation and insurance in your bid, as well as your markup for profit.
- Be sure to have your bid in by the deadline.
If you have created several bids but have not been awarded any jobs, you may want to relook over your bid design. Furthermore, be sure to ask plenty of questions if you do not understand the contract fully. This will help you to avoid any errors in your bid and potential loss of profits.