Bidding rules can be confusing, especially for newcomers to the construction scene.
If you are wondering what it means to public or hard bid, and how it can benefit you,
read on for a brief look into bids.
When is a Hard Bid Used?
A hard bid is a term used in commercial construction. Commercial construction is
the building of office buildings, retail stores, warehouses, and stores in an urban
area.
How Does a Hard Bid Work?
Most public contracts are hard bid contracts. A project owner selects an architect
who designs a project. Then a public bid advertisement attracts contractors, who
submit bids based on the architect’s plans. The lowest budget wins the project.
How to Hard Bid a Project to Multiple Contractors
Prequalify Your Contractors
A project owner wants to minimize the cost of construction while ensuring the
construction company will provide high-quality work. To increase the likelihood of
both of these wants being met, a project owner should prequalify their general
contractors.
Break Down The Project
Just asking for a total, final figure will not help a project manager choose a
contractor. However, breaking down the price will. Asking your potential contractor
to break down their price will help you see how the contractor will spend the
money.
Create A Precise Hard Bid Presentation
Be thorough in your specifications to help avoid any miscommunication or
disappointments once the project is complete. Being precise about what you want
can also assist the commercial contractors in coming up with their estimates when
preparing their bids. Which means more well thought-out, potential bids for you!
Remember: The Lowest Price Does Not Mean The Best Price
While the lowest bid may look great in terms of figures, the lowest does not always
equate to the best bid. Remember to look for a qualified contractor willing to break down figures on and have a good track record of previous successful commercial projects.
When it comes to construction for your business, RE Smith knows how important it
is to get the job done fast and get the job done right. From retail stores to banks,
from industrial buildings to warehousing, our people are here to build your
business. At RE Smith Construction, your business is our business.
To learn more about RE Smith Construction and the services we provide, please call
our office in Joplin, MO today.