Solicitation options for goods

The non-binding request for quote (NRQ) is a type of informal solicitation you can use to request quotes from suppliers. This option provides flexibility, allowing you to include a range of requirements and negotiate contract terms and conditions. The NRQ results in a single contract. 

When to use an NRQ 

• Single purchases of goods under $10,000 
• You want to evaluate multiple factors, not just price 

Why use an NRQ 

• Evaluations are informal, giving you the flexibility to determine which quote offers the best value 
• You can set the timelines
• You can include any relevant requirements  
• You can negotiate the contract terms and conditions 
• You can add social and environmental evaluation criteria to this solicitation option.  Learn more about social purchasing and the Guidelines for Environmentally Responsible Procurement (GERP)

Things to consider 

• You must attempt to get at least three quotes to ensure value for money  
• If the total procurement value is $10,000 or more, you cannot split the contract value into multiple NRQs to keep the solicitation under this limit 
• You need to thoroughly document your process, including if and why you accepted a late quote, and your rationale for selecting a successful supplier 

Timelines and BC Bid requirements 

• 1-3 months from drafting the NRQ to signing the contract 
• More time may be required depending on the applicable review and approval processes, including if the supplier’s form of contract will be used 
• Not posted on BC Bid 

Contract options 

• Contract templates
• Custom form of contract or supplier-provided contract (consult LSB) 
• Purchase order 

Next steps 

• Read the NRQ training materials 
• Download the NRQ corporate template 

For a low-dollar-value purchase, you may be able to use an informal process for your procurement. Because you select the suppliers to request quotes from, this can be an effective way to support local businesses.  

The non-binding request for quote (NRQ) is the recommended option and best practice for low-dollar-value procurements. Remember that your purchase may be audited. It is essential you document every step of your procurement. 

When to use an informal solicitation 

• The dollar value of your purchase is under $10,000 for goods 
• No existing Corporate Supply Arrangement (CSA), multi-use list, or other supply arrangement meets the business need 
• Purchase is a one-time, clearly defined expenditure 

Ways to do an informal solicitation 

• If you are buying basic goods, like those you can buy off the shelf at a store, and intend to choose your contractor based only or primarily on lowest price, consider:  
  • Emailing at least three suppliers  
  • Calling at least three suppliers  
  • Checking at least three websites to obtain prices and specifications 
• If the goods you are buying are more complex and/or you want to consider more than just price, consider using a non-binding request for quote (NRQ) when you contact three suppliers

Why use an informal solicitation 

• Fast and easy for low-dollar-value purchases 
• You can choose the suppliers 
• You can add social and environmental evaluation criteria to this solicitation option.  Learn more about social purchasing and the Guidelines for Environmentally Responsible Procurement (GERP)

Do not use informal solicitation when 

• The purchase will create a new standard for future purchases of goods (e.g. buying a proprietary product that will force you to only buy that brand in the future) 
• You need a standing arrangement or ongoing services 
• You don’t know how much you will spend overall 
• You plan to change scope or add services later 

Things to consider 

• A low-dollar-value does not remove the need for a competitive process or justify a direct award 
• You must attempt to get at least three quotes from suppliers 
• You can find suppliers from sources like qualified lists, past experience, colleague recommendations, or online searches 
• When contacting suppliers or preparing your requirements, avoid using mandatory language (e.g. “must”)  
• Do not share supplier pricing with others 
• You can accept supplier alternatives, but you cannot change the scope of your purchase  
• If you are paying with a purchase card, ensure the purchase card’s limit can cover the cost 
• You must document your process for audit purposes 

How to do an informal solicitation 

• Define your need clearly before contacting any suppliers (this should include specifications and any delivery details and dates) 
• Define the payment model (one-time payment, milestone payments, hourly payments) most appropriate for your purchase 
• Attempt to find three or more suppliers. If you can’t find three, you may contact fewer, but you must document why you couldn’t get three
• Do not make any commitments to suppliers 
• Do not ask for any commitments from suppliers, such as requiring them to adhere to their quote for a period of time 
• Collect and document quotes from suppliers (this can be done by email, phone call, and online search) 
• Compare quotes, confirm specifications and delivery dates, and choose the supplier that offers the best value 
• Confirm with the successful supplier in writing. Inform others afterward (this would not apply if you did an online search and did not contact suppliers directly)
• Consider how the purchase agreement will be documented (e.g. general services agreement, purchase order) 
• Save your documentation, including, but not limited to:
  • Requirements
  • Process
  • Screenshots of who you contacted, with phone numbers, duration and dates
  • Websites you visited with screenshots of dates, prices and specs
  • Summaries of conversations
  • Responses from suppliers
  • If and why an attempt to collect a quote was unsuccessful and why
  • Any other relevant information

Contract options 

• Contract templates
• Supplier-provided contract (consult LSB) 
• Purchase order 
• Receipt 

Next steps 

• Contact your ministry procurement specialist if you have questions about this process 

The invitation to quote (ITQ) is a solicitation for purchasing higher value goods. It is designed to be awarded to the bidder with the lowest priced quote that meets all requirements. 

When to use an ITQ

• Single purchases of goods valued at $10,000 or more 

Why use an ITQ 

• It is a straightforward solicitation when price is your main consideration 
• PSD manages the process 

Things to consider 

• A corporate ITQ template is not available. Contact PSD to begin the process 
• Not appropriate if you want to evaluate criteria in addition to price, such as experience, quality assurance, or quality control 
• Not appropriate for software purchases. Contact PSD for information about the Non-Binding Invitation to Quote Software (NITQS) 
• Not suitable for repeat purchases under one contract 
• If additional deliveries are required, you will need to contact PSD to post a new ITQ  
• All ITQs include terms and conditions that proponents must agree to. You can’t change contract terms and conditions when finalizing the contract 
• If the maximum budget was not stated in the ITQ and the successful quote exceeds it, you will need to speak to your spending authority to request additional budget. If you decide to cancel the procurement, seek legal advice
• If you are considering a purchase for goods under $10,000, use a non-binding request for quote (NRQ) 

Timelines and BC Bid requirements  

• 2-6 weeks from finalizing specifications to issuing the purchase order 
• Does not include the time it would take for goods to be delivered 
• ITQs must be posted to BC Bid for a minimum of 10 calendar days if goods are commercially available in the marketplace (goods available for purchase, lease, or license by the general public) 
• If the goods are not commercially available in the marketplace, such as custom-made products, then the ITQ must be posted for at least 40 calendar days, unless specific circumstances apply 

Contract options 

• Purchase order 

Next steps 

• Contact PSD to begin the ITQ process