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Introduction

Tender is a contractor's answer to a request for a proposal. It presents a proposal for the
provision of goods or services. To attract proposals, tender documents are prepared.
Especially in the construction industry, tender is one of the most important aspects in starting
a project. It is because without a tender document, the details of the construction such as
specification of the building, goods, services, machinery, labour, rent could not be
determined, and those details are still not confirmed. Thus, making the contractor not be
able to decide because it is important to have all those details in order to make sure that
their construction firm is capable to construct the building.

Furthermore, tender details contained all the allocated sums such as provisional sums, and
prime cost sum that are necessary for the contractor to judge whether if the project will be
profitable for them or it will cause them losses in terms of money. Besides that, in a tender
document. Tender details show all the key information that must be presented so that the
contractor can be confident that the tender is a legitimate document, and the client is not
someone from a questionable background.

Additionally, tender document can also be used to offer a services or goods that are not
related to construction industry. Like a variety of contracts, including those for the provision
of equipment, the principal construction contract which may include contractor-designed
elements, demolition, enabling works, etc., may be the subject of tender documents.
Similarly in those tender document, it will have tender details that is crucial for the contractor
to understand the purpose of construction and what type of work they will be required to do if
they accept the offer.

Finally, in the end of all tender document it will have a general summary. General summary
serves it purpose by summarising all the information into a single table. This is done to
specifies the total of all priced portions of the Bill of Quantities that will comprise the tender
sum. If the client accepts the tender amounts, they become the contract amounts. Contract
amounts are the fees that the client agrees to pay the contractor for carrying out and
finishing the work. Due to deviations and remeasured goods, the contract sum can be
amended. This is included in the typical contract form.

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