How to Write a Purchasing Bid Letter for an Offer

By Lanee' Blunt

If you have found a business venture you want to purchase, or a supplier you want to do business with, the next step is to write a purchasing bid letter. There are things to consider before preparing the bid offer. A purchasing bid is different from a proposal because the proposal involves the award to be made following negotiation with a company while a bid is part of the sealed bidding purchasing process. Writing a purchasing bid letter can win you the bid. A purchasing bid letter has to be planned before you begin the initial writing.


Things You’ll Need
Cost of material
Cover reports
White printer paper

Analyze any past bids.  There is a reason the other companies have won and lost bids.  If you carefully review past bids and learn what won the bid and then you can apply the same techniques. Get the information from the owners ask questions. Get firsthand information from owners use past correspondence with potential customers, read their brochure and websites.  Some companies will explain why the bid was lost.

Analyze the requirements. Before you prepare the bid make sure you have a full understanding by studying the specifications and requirements to make the purchase.  What are the conditions of the purchase, the delivery and payment? Examine all the specifications, read the RFP several times.

Write your bid response. Start the first paragraph with a section about your company. Bids include the experience, expertise, and a reliability section and the method of performance. Tell the procurement staff or the business venture about your organization your experience and your work references or samples of the type of work performed. The second paragraph is the performance section and it should tell how your organization will perform when you buy the business venture, or deliver the goods requested in the bid document. The format is not that important just make sure you have all the information included.

Consider the price you are offering. The third paragraph is the cost and the price you are bidding should come out of the budget detail. Calculate the materials if any, labor, overhead, packaging and transportation. The price should meet the supplier’s rate of return objectives.

Professionally package bid.  The purchasing bid letter should look professional on good quality paper. Use your letterhead, and a glossy cover. You want your business and your bid to stand out and exceed expectations.

Mail the purchasing bid on time.  If the bid is late then you stand a chance of losing the bid. Pay attention to the deadline and don’t go beyond it.

An organization that scores high on services and low-priced bid has a high chance for being awarded the bid.


GSA: Bidding on Federal Construction Projects

“The Entrepreneur’s Information Sourcebook”; Susan C. Awe; 2006
“Grant Writing for Dummies”; Beverly A. Browning; 2008


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