An invitation for bid (IFB) or invitation to bid (ITB) is an invitation to contractors or equipment suppliers, through a bidding process, to submit a proposal on a specific project to be realized or product or service to be furnished. IFB is generally the same thing as Request for Quotation (RFQ). The IFB or RFQ is focused on pricing, and not on ideas or concepts.
If not stated otherwise, the contractor or supplier with the lowest bid is awarded the contract, provided that they meet the minimum criteria for the bid. This is in contrast to a request for proposal (RFP), in which case other reasons (technology used, quality) might cause or allow choice of the second best offer. An RFP is a request for a price from a buyer but the buyer would also expect suggestions and ideas on how the project work should be done. RFPs are thus focused on more than just pricing/cost, they entail a bit of consulting from the contractor or vendor.
Famous quotes containing the words invitation and/or bid:
“Postmodernism entices us with the siren call of liberation and creativity, but it may be an invitation to intellectual and moral suicide.”
—Gertrude Himmelfarb (b. 1922)
“He must be taught, and trained, and bid go forth:
A barren-spirited fellow; one that feeds
On objects, arts, and imitations,
Which, out of use and staled by other men,
Begin his fashion.”
—William Shakespeare (1564–1616)