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Basic Proposal for Tender
Last Verified:
2005-10-19
Summary
The following are a number of areas you should be aware of when pursuing a contract for service. The appropriate professional services, such as legal counsel should also be sought out and utilized.
| 1. Site: Where the work is to be done? What size of area? What type of work? |
7. Insurance: General liability insurance coverage! Amount? |
| 2. Contact: Ensure you have a contact to clarify and discuss services with. |
8. Contract time: When do you start and when is the contract over? |
| 3. Qualifications: What methods are used to determine your qualifications and/or your employees? |
9. Subcontractors: Note: be sure you are aware of supplementary conditions or specifications relating to subcontractors. |
| 4. Examination of contract documents and site: It is up to you to examine documents and visit the site. |
10. Omissions: If you think some term or condition is missing or there is a discrepancy, bring it to the attention of the owner. |
| 5. Federal, Provincial and Municipal laws: It is important that you understand and comply with them in the performance of the work. |
11. Addenda: Before submitting your tender prior to the closing, check to see if any changes have been made to the tender. |
| 6. Bond: What size ($) and type of bond is required? |
Example: Janitorial business
Seasons:
Spring, summer, fall and winter can create conditions that may require more time or special duties. Ice from sidewalks, mud from carpets and maintenance of shrubs.
Types of contracts:
It may cost a lot more to clean a restaurant as opposed to the equivalent space in an office.
- Conditions of premises is important. A poorly maintained parking lot may track in mud and snow.
- You may have to spend extra hours to get premises in shape.
- More work may be required while renovations are being done.
Before signing a contract, have your lawyer review it and ensure you understand and can accept the obligations you will be responsible for.
Sample Calculation Sheet for a Janitorial business
For Client Quote
| Five days per week | |||||
|---|---|---|---|---|---|
| Customer Requires | Estimate of Time Required | Daily Weekly |
Total Time | ||
| Carpet vacuumed daily | 30 min | x | 5 | = | 2 h 30 min |
| Damp mop tile daily | 15 min | x | 5 | = | 1 h 15 min |
| Empty garbage daily | 5 min | x | 5 | = | 30 min |
| Wash windows weekly | 30 min | x | 1 | = | 30 min |
| Total Labour Costs | 4 h 45 min | ||||
| Cost: | 4 h 45 min at $7 | = $33.25 |
| Benefits 12% | = $ 3.99 | |
| Total Labour Costs | $37.74 |
| Janitorial Supplies | |
|---|---|
| Cleaning Agent for Windows | $1 |
| Garbage Bags | $1 |
| Total Supplies | $2 |
| Equipment Costs | |
|---|---|
| Vacuum | $700 |
| Mop & Pail | $40 |
| Ladder | $50 |
| Pail Squeegee | $20 |
| Cost of Equipment | $810 |
| Cost x 2%/month | =$16.20 per month/4 weeks | = $4.05 per week |
| Total of estimate used as quote to client | $43.79 per week | |
| GST | $3.06 | |
| Total | $46.85 per week |
This is an example of what needs to be highlighted when defining the time, supplies, and equipment needed to pursue a tender. This same model can be used for other business service tenders.
Prepared by: Saskatchewan Regional Economic and Co-operative Development