Tender and Contracts
To enable a contractor to prepare an offer that, if accepted, will form the basis of the contract with the client, he must be provided with information and specific requirements about the project. Depending on the quality of that information will determine the level of accuracy of the tender. If the tender documents are detailed and complete then the contractor will have a high level of confidence in the requirements and be able to submit a competitive tender. If, on the other hand, the information is scant and poorly detailed then the contractor will have doubt over the requirements and will increase his price to cover the risks he perceives. Poor information and detailing will also make the post contract financial control more difficult.
A typical tender invitation includes a document to be priced (bills of quantities, schedule of work, specification or schedule of rates); drawings (site plan, location plan, plan of each floor, sections and elevations); supplementary information (consultants" reports, asbestos survey, site investigation details
pre-tender Health & Safety file); letter of invitation (detailing procedures for the tender submission, the tender period and arrangements for site visit etc.); and, a form of tender.
The tender documents for nominated sub-contractors and suppliers are broadly similar but include the terms applicable to the main contract as well as to the sub-contract; discounts to be allowed; the sub-contract forms that are to be completed.