Request For Quotation (Rfq) Definition

A request for quotation (RFQ) is a type of invitation to submit a bid, proposal, or quotation to supply goods or services. RFQs are commonly used in business-to-business purchasing for large-scale purchases that require complex custom solutions.

An RFQ typically includes instructions for how to prepare and submit a quote, as well as evaluation criteria the organization will use to determine which supplier is the best fit. The RFQ process may also include a pre-bid conference or site visit, during which suppliers can ask questions and clarifications about the project.

After quotes are received, the organization will review and evaluate all proposals before selecting a supplier. The winning supplier is usually the one who provides the best value solution at the lowest price point.