The Pros And Cons Of Public Bidding
Public bidding can be a competitive process for contractors, unlike private bidding. To participate in a public bid, a qualified contractor needs to be on top of their game by having all their paperwork in order and submitted by a certain deadline. As construction lawyers in Tampa, we’ve listed the advantages and disadvantages of public bidding to assist contractors who are deciding whether or not it’s worth it to make a public bid.
Pros And Cons Of Bid Contract Announcements
Bid contract awards may be announced publicly, or they may be announced in private. If the contract is announced publicly, the owner will open all of the bids and announce each bid amount at a certain time and location. Typically, the contract will be awarded to the lowest responsible bid. There are both pros and cons to public bidding.
Pros Of Public Bidding
Fairness is one of the biggest advantages of public bidding. Contractors want to bid on a project where they have an equal chance of winning, and no bias. Another advantage is that the process is open to all qualified bidders, ruling out discrimination. The public bidding process also has a general familiarity, and with the assistance of a construction attorney in Tampa, an easy process to go through.
Cons Of Public Bidding
While there are some significant pros to public bidding, it does come with a few cons as well. While public bidding is accessible to prequalified contractors, it can actually take days, weeks, or even months gathering the necessities to submit a responsible bid. This preparation can take a long time, and comes with the risk of no reward. A contractor can take months preparing his bid, and there is no guarantee he will be awarded the contract. Another disadvantage is the number of bidders that are present. Since a public bid is typically open to any qualified contractor, it’s harder to be the lowest bidder of the group.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.