Everything you need to know about bid proposals (including template)

Bid proposals are often a make-or-break moment for winning new business. You can highlight your strengths, address client needs and gain a competitive edge by including the right elements.

In this article, you’ll learn how to craft a compelling bid proposal (using a template) to secure more contracts and grow your company.

What is a bid proposal?

A bid proposal is a formal document that businesses submit to win contracts – making it a key contributor to company success and business growth. It shows potential clients how you’ll meet their needs and how much the project or service will cost.

Organizations use bid proposals to compare multiple vendors before making a business decision. They’re common for:

• Construction projects

• IT and creative services

• Consulting freelancers

• Government contracts

Here’s part of a bid proposal example to visualize one:

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What are the main types of bid proposals?

There are also different types of proposals. Three of the most common are:

1. RFP (request for proposal). The client needs a complete solution with a strategic plan, qualifications and execution. They want the best approach, not just the lowest price.

2. RFQ (request for quotation). The client knows exactly what they need and is comparing prices. Companies use RFQs for straightforward purchases like equipment, materials or predefined services.

3. RFI (request for information). The client is in the early research and procurement stages. They’re exploring vendors, capabilities and scope before deciding on the next steps.

This guide will focus on the most detailed and competitive bid proposal type – RFP responses. Unlike RFQs and RFIs, RFPs require your company to demonstrate its expertise and approach (beyond pricing).

The following template and step-by-step instructions cover the most crucial elements to help you create a winning proposal.

Download Pipedrive’s free bid proposal template

A structured, well-crafted proposal can be integral to an effective client-getting system. It sets you apart from competitors and increases your chances of success.

To get started, download Pipedrive’s free bid template and fill in each essential section according to the steps outlined below.

Download your Bid Proposal Template

If you need a bid proposal template for Word, copy and paste the table or each section into your document. (You can do the same for bid proposals in Sheets.)

How to fill out a request for proposal (RFP)

An effective RFP should be clear, concise and free of jargon. The goal is to showcase your company’s expertise in a way that’s easy to understand (even for non-specialists).

Avoid overly technical language, tailor your proposal to the prospective client’s needs and thoroughly proofread the document.

Here are the seven key sections of an RFP response and how to fill them in.

1. Executive summary

Your executive summary outlines your approach, solution and why you’re the best fit. Decision-makers may only skim your proposal, so this section must quickly capture attention and highlight your strengths.

For example, one company’s executive summary may include:

This section should be client-focused, showing you understand their needs and giving them a reason to read on.

Instead of a generic introduction, here are four ways to stand out:

1. Make it about the client, not you. Address specific customer pain points and how your solution directly benefits them.

2. Be concise but compelling. Aim for short paragraphs and keep detailed explanations for follow-ups.

3. Highlight key differentiators. Summarize what makes your company stand out. Mention experience, unique methodology or innovative technology early on.

4. Use data if possible. Statistics or success metrics can strengthen credibility.

Use your executive summary to differentiate yourself and highlight your unique selling point (USP) or methods.

2. Scope of work

The “scope of work” section is a detailed action plan outlining what, how and when you’ll do it. Setting clear expectations in this project baseline helps clients visualize the process and understand what they’ll pay for.

For example, you may break your project plan into phases and deliverables:

A well-structured project scope should include:

Try to make this section as clear and actionable as possible. Use lists and formatting to make each stage immediately obvious.

Here are four best practices for getting it right:

1. Clearly define each project phase with bullet points or tables for easy reading

2. Use a visual project timeline (e.g., a Gantt chart or milestone breakdown) to show deadlines

3. Include outputs so clients understand what they’ll receive at each stage

4. Be specific about tools or strategies you’ll use and avoid vague descriptions

Structure your scope of work to make it easy for clients to understand and feel confident in your approach.

3. Budget and pricing

You must include a detailed cost breakdown of your services, including anything optional or contingencies. A transparent pricing strategy builds a potential customer’s trust and helps them compare proposals fairly.

Offer options, if possible. For example, a customer relationship management (CRM) consultancy may provide tiered pricing for different service levels:

Break down cost estimates into categories and tailor these to your industry. For example, a construction bid proposal may require:

• Labor. Skilled and unskilled workforce costs (e.g., contractors and site supervisors).

• Materials. Raw materials, equipment and building supplies.

• Permits and compliance management. Legal fees, zoning permits and safety inspections.

• Project management. Administrative and oversight costs.

• Ongoing maintenance. Post-construction job repairs and warranties.

On the other hand, a marketing agency bidding for a campaign will have different costs and overheads. For example, it may price for:

• Creative management. Graphic design, content creation and video marketing production.

• Advertising spend. Social media ads, pay-per-click (PPC) campaigns and influencer collaborations.

• Technology. User experience (UX), analytics and marketing automation platforms.

• Project management. Campaign planning processes and reporting tools.

• Post-campaign analysis. Resources for measuring success and A/B testing.

To avoid surprises, clarify what you will and won’t include in your proposal. If applicable, explain the return on investment (ROI) by detailing cost savings, efficiency gains or revenue growth the client can expect.

Let’s say your solution reduces operational costs by 20%. Highlight how that will impact the client’s bottom line over time.

4. Company qualifications

Your qualifications (e.g., certifications, case studies and customer stories) prove that your company can manage resources and has the track record to deliver. Clients want to reduce risk by choosing a vendor with a strong, credible background.

For example, an IT provider might write:

This section aims to showcase your expertise and minimize client concerns. Make your qualification section more impactful by including the following:

Proof of past successes demonstrates your company’s capabilities and trustworthiness. These crucial factors help you gain clients’ confidence, win bids and encourage customer loyalty over time.

5. Terms and conditions

Your terms and conditions outline legal and payment terms that govern the project. This small print protects both parties and helps avoid misunderstandings or disputes later.

You want to keep language reader-friendly throughout your bid proposal, but it’s even more crucial in this section. Business law jargon can confuse readers, so keep your wording clear and understandable to prevent unnecessary back and forth.

For example, part of your terms may state:

Some key elements to include in your terms and conditions are:

• Payment schedules (e.g., upfront deposit, milestone payments and final settlement)

• Intellectual property rights (i.e., who owns the deliverables after completion)

• Cancellation policies that cover what happens if either side terminates the project early

• Whether you’ll hire any subcontractors to help you complete the job

• Confidentiality of any sensitive information during and after the project

Being specific about responsibilities, timelines and obligations helps build a smooth working relationship from the start.

6. Closing statement

Your closing statement reinforces why your company is the best choice for the project proposal. A strong final note can encourage further discussion and increase your chances of winning the bid.

Finish with a clear call to action (CTA) and outline the next steps. For example:

Add contact information (e.g., your phone number or email address) so the client knows exactly how to reach you with any questions or next steps. Prevent lost leads while making it easy for them to say yes and get in touch.

Here are three tips for a strong closing statement:

1. Summarize your key strengths in a couple of sentences

2. Express enthusiasm and confidence in your ability to deliver results

3. Encourage the client to schedule a follow-up meeting or request more details

At the bottom, include client signature and contractor signature lines to secure the agreement once they accept the proposal.

7. Optional sections

Your RFP may need additional information depending on client requests or industry specifics. These optional sections reinforce your expertise, address concerns upfront and help you handle sales objections.

For example, healthcare or finance clients may require a “data protection” section outlining your General Data Protection Regulation (GDPR) or ISO 27001 cybersecurity standards. Similarly, a government contract may need a supplier diversity statement or regulatory details.

Other relevant information can include:

Thorough additional content can give you a competitive edge and help you close new deals. Use these sections to show the client you’ve thought through every detail.

3 common mistakes and solutions for a winning bid proposal

Submitting a bid proposal can be a high-stakes process. Avoiding common pitfalls that stop clients from signing increases your chances of success and helps you stand out from competitors.

Here are three of the most common mistakes and what to do instead.

Mistake #1: sending a bid proposal out of the blue

Clients may ignore a cold business proposal if they don’t recognize your company or trust your capabilities. Engaging beforehand (e.g., in person, via email or on LinkedIn) builds rapport and helps you better understand their needs.

For example, instead of “we can provide a comprehensive marketing strategy”, say:

Here are four ways you can start building connections and relationship selling with potential clients:

1. Attend pre-bid meetings

2. Request a quick sales call to discuss their objectives

3. Ask insightful questions about their challenges before writing the proposal

4. Research client information and show familiarity with their company and industry when reaching out (e.g., referencing relevant trends or past projects)

You can use a CRM system like Pipedrive to organize and track your bid proposals while managing potential client relationships.

For example, you could set up a pipeline that tracks when you send each proposal, when follow-up emails are due and whether the client accepted or rejected the proposal.

Here’s where you customize pipeline stages in Pipedrive:

These personalized stages ensure nothing falls through the cracks and your bidding process stays organized.

You can also log sales activities (e.g., meetings, calls and emails) before and after submitting bids as notes to keep your sales team on the same page.

Once you’ve built a relationship (e.g., through meetings or informational calls), store all relevant details and conversations in Pipedrive’s customer database so you can easily access them for future proposals or discussions.

A bid proposal isn’t just about what you offer – it’s about showing the client you understand their needs. Building relationships first increases trust, credibility and your chances of winning a deal.

Mistake #2: tweaking the same bid proposal

Clients should immediately see that you’ve personalized your proposal to their specific project needs. Following the instructions shows that you’ve thoroughly digested and understood them.

For example, instead of a generic opening like “our team specializes in web development and can create a custom business website”, say:

You can also incorporate the client’s branding to make it more visually engaging where appropriate.

Here are four ways to demonstrate you’ve customized your proposal to project requirements:

1. Mirror the client’s language. Use key terms and phrases from their email or informational document.

2. Reference their brand. If permitted, include their logo or align colors with their branding.

3. Make it personal. Address pain points directly and show how your solution solves them.

4. Go beyond words. Use visuals like mockups, charts and process diagrams to enhance clarity.

Every client has unique challenges, goals and expectations for their projects. Your bid should reflect those to increase the chance it’ll resonate.

Mistake #3: making claims without proof

Offer concrete proof for any statements or results. Adding specific numbers, success stories and real-world examples establishes credibility and makes your proposal more persuasive.

For example, you can refer to sales metrics and key performance indicators (KPIs) like revenue growth, cost savings or efficiency improvements.

Let’s say a company writes, “We have years of experience increasing customer retention.” Instead, you could say:

Here are three tips to help you successfully back up claims:

1. Use before-and-after data to show measurable improvements from past projects

2. Add quotes from satisfied clients to create social proof, boost positive customer sentiment and reinforce trust

3. Show experience with similar industries, project sizes or challenges to prove your solution is the right fit

Effective bid proposals don’t just tell clients what you can do. They prove it with hard data and tangible results.

Bid proposal FAQs

Final thoughts

Writing a winning bid proposal is essential for securing contracts and growing your business. By following the above structure, you can ensure your proposal stands out and clearly communicates your value.

Consider a robust CRM software solution that streamlines managing bids, proposals and client relationships to improve your bidding process.

Try Pipedrive free for 14 days to track your leads, collaborate with your team and close more deals faster.