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What Is a Construction Proposal?

A construction project.
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  • Written By: Carol Francois
  • Edited By: Heather Bailey
  • Image By: Gord Webster
  • Last Modified Date: 26 March 2014
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    Conjecture Corporation
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A construction proposal is also known as a bid response. This document package is created when a builder is bidding on a contract for a construction project. There are five different items included in a proposal: tender documents, blueprints, artist rendering, detailed specifications, and pricing. These items are always required, regardless of the industry or size of the project.

The details that are provided as part of a construction proposal are designed to provide sufficient information to allow the recipient to make a decision between multiple project designs and builders. In addition, this same set of proposal documents will be submitted to the planning and permissions board for the city or region that provides the permission required to go ahead with the project.

As part of the proposal, the original tender documents are always included. Although this may seem like a waste of paper, there is a legal reason for it. The proposal is provided as a response to a purchasing request. The inclusion of the tender documents removes any possible confusion regarding which project the submission is for. Even in the event that the wrong project number is on the proposal, the tender documents over-ride that information.

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Blueprints are the architectural drawing or schematics for the space. These official drawings, when approved, form the construction plans used to actually create the building. Any details that are included in the specification or detailed document should be included in the drawings. If they are not included, the drawings takes precedence. It is very important for the client to review the drawings in detail and confirm that they are as expected.

The artist's rendering or illustration is a high-level projection of how the finish project should appear. These drawings are provided as an estimated illustration, and are intended to give a general impression, and not a detailed image of exactly how the finished product should appear.

The thickest section of the construction proposal is the detailed specification. In this document, the contractor is required to provide the exact description of the items he or she is intending to use. For example, the contractor must specify the size of the pipes, the rating and type of the insulation, as well as an indication of exactly where it will be installed.

The pricing section includes a total dollar value. In construction projects, it is very common for large firms to use subcontractors, and in some places, they are required to list the names of the subcontractors and to provide their workers safety and business license numbers as part of the proposal. In addition to this information, the project time line and payment schedule are also included.

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Discuss this Article

anon326860
Post 8

One of the hardest industries in term of implementation, and also the return of investment. Suddenly you need heaps and heaps of money, but you have to run for a long time until you collect it.

Pharoah
Post 6

@KaBoom - I see what you're saying. However, I think that competition over construction contracts is good (for the consumer at least.) If people have to compete to get work, they'll be more likely to do their best and bid at a reasonable price.

KaBoom
Post 5

I've bid on work before (not construction work), and I have to say, I think the whole process really demeans workers. When you hire someone based on a bidding process, it usually drives the price down for the industry as a whole. You get a lot of people who will undercut their competition on jobs, and then try to make up for it in volume.

However, then everyone has to work more to make the same money, and I think the quality of the work will really suffer. People should just hire someone for the job and not make it a crazy bidding process.

LoriCharlie
Post 4

@indemnifyme - It does sound like a lot of work, but I imagine anyone who goes into the building business knows that they're going to have to do it. I imagine they probably have a proposal template in place to streamline the whole procedure. And also, they probably don't expect to get every single job they bid on!

indemnifyme
Post 3
I had no idea how much work went into bidding on a construction project. Detailed blueprints, pricing, specifications....that's a lot! And it's crazy to think that after working up such a detailed business proposal, you still might not get the project.

I've bid on projects as a freelance writer before, but I didn't have to put that much effort into trying to get the job. All I needed was a cover letter, my resume, and some samples of my writing! If I had to put the same effort into my bids as a builder does, I would be devastated every time I lost out on a contract!

anon161055
Post 2

I need a copy of a construction proposal to learn and study. I would like to work with company/organization as a proposal writer.

anon61229
Post 1

I want to study the proposal for construction project. please send me an example for free. Thanks.

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