Request For Quotation (RFQ)


What is an RFQ?

An RFQ is basically a Request for Quotation sent to a Supplier or a Contractor. It can be a letter or an email.

When is it sent?

  • Preparing an Estimate – when we need rates of specific jobs or materials to prepare an Estimate
  • Contract finalisation – when we need to finalise a Subcontractor or a Supplier.

What does it contain?

In a Real Estate construction project, an RFQ generally contains the following items:

  1. Project details – Name of project, Client, Engineer, Main Contractor; project address etc.
  2. Bill of Quantities – It gives the Quantity of work to be executed or material to be supplied. If this is not given, each person may calculate different quantities giving huge variation in their final quoted amount.
  3. Drawings of the specific work. It can be Architectural, Structural, Mechanical etc. depending on the type of work or material.
  4. Specifications of the said work or material. If this is not given, each will assume different type of material or work methodology leading to different pricing.
  5. General terms – Usually given in the General Conditions of Contract for big tenders. It contains general information not particular to the project such as Responsibilities of different parties, Quality requirement, Safety requirements, Insurance etc.
  6. Commercial terms – Usually given in the Particular Conditions of Contract for big tenders. It contains details about advance payment, payment time, retention, performance bond, penalty clauses etc. This information will help them to prepare their cashflow and plan their activities accordingly.
  7. Delivery – Work start and completion dates, milestone dates as per the Main Programme. This information is also important as they will understand whether they can finish the work on time with available manpower and machinery or if they require to hire new which will ultimately impact on their price.
  8. Last date for submitting the quotation.
  9. Contact details of person in case of any queries.

Sample format 

Quotation Request for Job in Hand

To ABC Contractor LLC From Mr. Z, Project Manager
Phone 123 Phone 789
Email Email
Kind Attn. Mr. A Ref. 2017/ENQ/001
Enquiry for Supply & Installation of Steel Doors Date 15-Feb-2017
Project Residential Building on plot no. 123, Dubai
Engineer JKL Engineering Consultancies

We are pleased to inform you that we are starting work on the above mentioned project as Main Contractor and we would like you to participate in this esteemed project to make our association stronger.

 Documents: Floor Plans and Schedule of Doors & Windows are provided. BOQ is issued for reference only.

 General Commercial Terms:

  1. Performance Bond in the form of approved Bank Guarantee of 10% work order value to be submitted for all work order values above 1 Million AED.
  2. Advance if required @ 10% work order value against Bank Guarantee for all work order values above 1 Million AED.
  3. Retention @ 10 % applicable (5% released after receiving Taking Over Certificate and balance after completion of Defects Liability Period of 1 year.)
  4. Payment terms: Invoice to be submitted on 25th of each month, payment shall be effected within 30 days.

Subcontract work start date as per construction programme: 01st August, 2017.

We will appreciate receiving your proposal by 2nd March, 2017.

For any clarification, please contact the undersigned or Mr. MH, QS on 456.

Yours truly,


Mr. Z

Project Manager


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