Tender sum for construction contracts

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The tender sum is the overall pricing figure proposed by a tendering contractor in accordance with the tender pricing document.

The objective of the tender pricing document is to:

• Enable like-for-like comparison between tenders and the cost plan (pre-tender estimate).
• Enable the cost consultant to assess where value lies within the different tenders (such as foundations or finishes) allowing assessment of value for money.
• Identify any significant differences in pricing between tenderers to ensure the design has been correctly interpreted.
• Identify areas of savings that might be negotiated with tenderers while still in competition.
• Form the financial basis of the tender report.

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[edit] Related articles on Designing Buildings Wiki

• Bill of quantities.
• Construction contract.
• Contract sum.
• Cost consultant.
• Cost plans.
• Tender.
• Tender pricing document.
• Tender negotiations.