Elements of a Bid

In developing and submitting a bid on a public works project, bidders typically pull together costs for five areas:

1. Labor
   
2. Equipment
   
3. Supplies
4. Subcontractors and rental
5. Risk

In today's unstable pricing world, developing a bid is becoming more difficult as contractors attempt to guess what the market will do in the future. In an effort to win contracts and keep their workers busy, many bidders are sharpening their pencils even more, often reducing or even forgoing profit.