A Request for Quotation is a formal request for suppliers to submit prices and any supporting information for a defined requirement, often used for lower-value or relatively straightforward purchases.
Detailed explanation
An RFQ may be shorter than a full tender, but it can still include mandatory conditions, quality questions, pricing schedules, contract terms and a fixed portal deadline. The exact process depends on the buyer’s standing orders, the procurement route and the value and complexity of the requirement.
SMEs sometimes treat quotation exercises as informal emails and overlook compliance details. The buyer can only evaluate what is submitted, so every requested form, declaration, price and attachment should be controlled in the same way as a larger bid.
Where the scope is unclear, suppliers should use the stated clarification route and document assumptions. A low-value contract can still create serious delivery or liability exposure if pricing and terms are not reviewed.
Why it matters
The process may be shorter than a full tender but still requires careful compliance.
How buyers use it
The buyer uses an RFQ to obtain comparable offers for a defined need through a proportionate competition or call-off process.
What suppliers should do
- Read the full request and contract terms.
- Confirm mandatory documents and deadline.
- Price the complete scope and stated assumptions.
- Answer quality questions proportionately but specifically.
- Submit early and retain the receipt.
Where it fits in the process
- 1Requirement defined
- 2RFQ issued
- 3Suppliers submit quotations
- 4Offers evaluated
- 5Order or contract awarded
Frequently asked questions
Is an RFQ legally binding?
A submitted quotation may form the basis of a binding contract once accepted, subject to the stated terms.
Does the lowest quote always win?
No. The buyer may evaluate quality, compliance, delivery and other published factors.
Can we qualify our price?
Only where permitted. Unauthorised qualifications may make the response non-compliant.
Should we ask clarifications?
Yes where material ambiguity affects price, risk or delivery, using the authorised channel.
Do RFQs need the same controls as tenders?
Use proportionate controls, but never skip compliance, commercial review or submission verification.
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