Bid Documents

Bid documents from our industrial clients would arrive in several cases with a list of all the documents included. I searched the mountain of paper to ensure we received all the documents and the information.

My next step was to determine what the customer wanted us to include in our bid. These documents described in extreme detail the materials to be furnished and installed, equipment furnished by the customer and installed by us and all the legalize and insurance items necessary.

Homeowner Bid Documents

Homeowners need enough detail for the contractors to understand what you want. Research the project, especially for GREEN projects until you can describe the work completed exactly as you want. This will be the most tedious part of the entire process.

Bid Invitation

For your second step, I strongly recommend you write a bid invitation to limit your construction project risks. You should include:

• Statement of just a few sentences for what you want to accomplish.

• scope of work that describes all items the contractor is to include in his proposal. You cannot build it if you cannot describe it in writing.

• Materials (GREEN certifications available at delivery) the contractor is to furnish and install.

• Contract documents (including contractor insurance) the contractor is to sign and seal and return with his proposal, as well as a list of references. These same items will be included for any subcontractors.

These bid documents are your precaution to protect you and your family from the dishonest contractor and from any “miscommunication” that will make you vulnerable. An honest and legitimate contractor will enjoy the opportunity to work with a well defined project. Research the material and the project so there is no doubt what you want and what you require to have the work completed to your satisfaction.

Sample Of Invitation to Bid

The scope of work and contractor insurance will be detailed in other pages of Construction Risk.  This page will be for the essential elements of your invitation to bid to show my format (including scope of work and contractor insurance).

The simple rule of thumb is to start with job site preparation and work through to the job site cleanup. An additional question for you is to consider if a retainage for final payment will be necessary to assure your complete satisfaction.

Another consideration is whether you want to allow a mobilization charge for moving equipment and material onto the site. This is a cost every contractor will face if moving heavy equipment onto the job site is required.

An advance payment for materials the contractor will purchase to include in the scope of work is also a consideration.