Reject a Bid or Proposal • Letter Templates and Guide

Guide

1Express appreciation to the bidder for his or her effort.
2Describe, if appropriate, the bid's positive features. Explain briefly why you are rejecting it.
3Close with a positive remark, perhaps suggesting future possibilities for business together.

Tips

A tactful letter rejecting a bid informs the bidder of your decision, but still leaves the door open for future business.

Example Letter #1

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We acknowledge receipt of your bid to pour the foundation for our new school shop. We found your bid well-prepared, but considerably higher than the competition's. We have awarded the job to a local company. However, we will request bids on several more concrete jobs soon and hope that you will submit quotations.

Example Letter #2

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Thank you for meeting with us to present your proposal for our company's retirement plan. It was obvious that you had spent a lot of time preparing your presentation. I am sorry to inform you that the board decided to accept the proposal of another provider with lower administrative fees. We will review this decision on an annual basis, so feel free to keep in touch about future opportunities. Best wishes in your business.

Example Letter #3

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Thank you for submitting your landscaping bid for the Doe Inc. offices on Main St. We have decided to accept a competitor's bid instead of the one you submitted. They proposed a plan which more board members approved of. It was also cheaper. Thank you for submitting the bid. We anticipate many landscaping jobs in the future and hope you will allow us to rely on your services.

Example Letter #4

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Thank you for submitting a cost estimate for rewiring the annex to the old courthouse. We appreciate the thoroughness of your proposal, and the timely manner in which you returned it to us with the requested changes. However, we did receive a bid with a lower complete cost, and we have awarded the contract to that firm. We hope you will consider bidding on future projects as we continue to renovate the city/county buildings.

Write Your Letter Step-by-Step

1

Express appreciation to the bidder for his or her effort.

Example Sentences

Example Phrases

2

Describe, if appropriate, the bid's positive features. Explain briefly why you are rejecting it.

Example Sentences

Example Phrases

am sorry to learn that you are unable to provide accounting department discovered several errors in figures afraid I have some disappointing news after deliberating over who to award the job to after careful deliberation, we selected analysis and discussion of the unusually competitive responses another vendor whose timetable for delivery better meets our need because of the overwhelming number of fine proposals submitted carefully compared the responses we received to our request for concluded that your company cannot immediately provide adequate decision was based on several factors evaluating committee has selected another vendor for go with a firm a little closer geographically had great difficulty in selecting a training firm to develop have finally selected Doe Corporation to design the program have decided to award the project to have chosen a consultant who has have two other vendors who submitted lower bids for the work necessary to do the job most economically need more liberal credit terms than you can offer offered significant advantages in creativity and experience primary factor was cost regret to inform you that we have awarded another bidder the requires at least ten workers on site at all times since your proposal did not unfortunately, yours came in too high for our budget Doe Corporation is the lowest bidder weighing the strengths and weaknesses of each while all of the proposals were of exceptionally high quality your firm was among the five finalists we considered

3

Close with a positive remark, perhaps suggesting future possibilities for business together.

Example Sentences

Example Phrases