Estimating · 6 min read

How to compare subcontractor bids: bid leveling guide

Bid leveling means adjusting subcontractor quotes so they cover the same scope before comparing price. List the scope items for the trade, mark what each quote includes or excludes, price the gaps and then compare adjusted totals. The lowest number on a quote is often not the lowest cost once exclusions are added back.

Why leveling matters

Subcontractor quotes rarely cover identical scope. One may exclude permits, another may assume a different specification or leave out an addendum. Comparing raw totals can lead to buying out a gap you then pay for later.

Build a scope sheet

  • List each scope item for the trade from the plans, specifications and addenda.
  • Add general requirements: permits, testing, cleanup, hoisting, bonds and insurance.
  • Include alternates and unit prices requested in the bid form.

Level the quotes

  • Mark each item as included, excluded or unclear for every bidder.
  • Price excluded items using another quote or your own estimate.
  • Confirm unclear items with the subcontractor in writing.
  • Compare the adjusted totals, not the quoted totals.

Beyond price

Consider schedule capacity, bonding, safety record, licensing and past performance with your company. The lowest adjusted price is not always the best value.

How Bidmere helps

Bidmere provides bid leveling worksheets that compare quotes by scope item before your team selects subcontractors.

Common questions

What is bid leveling?

Adjusting subcontractor quotes to the same scope so prices can be compared fairly.

Should I always choose the lowest leveled bid?

Not always. Consider capacity, bonding, safety and past performance as well.

When should leveling happen?

Before bid day for key trades, and again after award during buyout.