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  Making the bid/no-bid call in twenty minutes
  https://offra.cc/blog/bid-no-bid-decision-in-twenty-minutes
  Published: 2026-07-08
  Language: en · Category: Bidding strategy
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The expensive mistake in tendering is not losing. It is losing slowly — spending three weeks of
estimating capacity on a tender the firm was never positioned to win, and then submitting anyway
because of the effort already sunk into it.

A bid/no-bid decision made on day one costs twenty minutes. The same decision made on day
nineteen costs the three weeks, plus the opportunity cost of the tender you did not chase.

## Six questions, in order

Order matters here. The first three are eliminating questions — a bad answer ends the review, and
you stop reading. The last three are scoring questions, which only matter once the eliminating
ones are clear.

**1. Are we eligible at all?** Licensing, qualification, bonding capacity, prequalification
status, mandatory site visit already past. This is binary, it is knowable in minutes, and it is
the most common reason a firm should have stopped and didn't.

**2. Can we physically make the deadline?** Not "is it tight" — can the estimating team produce
a defensible number by the close, given everything else already committed. A date on a calendar
is not capacity.

**3. Is the work actually our work?** Self-perform scope, geography, project size relative to the
firm's normal range. A project three times larger than anything the firm has delivered is a
different business, not a bigger version of the same one.

**4. Who else is bidding, and who holds the incumbency?** An incumbent with a clean performance
record on a straight low-bid tender is a strong signal. Not decisive, but it should change the
expected value of the effort.

**5. How much risk has the owner transferred?** Liquidated damages, unusually short payment
terms, unpriceable allowances, one-sided change-order provisions. These are visible in the front
end of the tender well before the drawings are understood.

**6. What does it cost us to bid?** Estimating hours, bond cost, any specialist input. Compare
against a realistic win probability, not an optimistic one.

## Why it does not happen

Every firm agrees with this and most do not do it. The reason is not discipline — it is that
answering the first three questions properly means reading the instructions to bidders, the
supplementary conditions, and the special provisions, spread across several hundred pages, before
you have decided the tender is worth reading at all.

So the review gets deferred. The estimator starts on the takeoff because the takeoff is the part
they can start, and the triage happens implicitly, three weeks later, by which point the decision
has already been made by accumulated effort.

## Front-load the reading, not the pricing

The practical fix is to separate the two kinds of reading. The eliminating questions live in a
predictable part of the tender — the front end, not the drawings — and they can be answered
before a single quantity is taken off.

This is one of the things automated extraction is genuinely good at. Pulling every deadline,
mandatory requirement, licensing condition and risk-transfer clause out of a tender set is
mechanical work, and having it in front of you on day one changes the twenty-minute conversation
from a guess into a decision.

The goal is not to bid less. It is to spend the same estimating hours on tenders the firm can
actually win — and to make that call while it is still cheap to make.

Related reading: [the five documents that sink a public
tender](/blog/five-documents-that-sink-a-public-tender).
