7 Bidding Mistakes and How to Avoid Them

Bidding on a project isn’t just about winning work. It’s about winning the right work at the right price without putting your team or margins at risk. But in the push to submit more bids, even seasoned contractors fall into costly traps.

Whether you’re estimating for a commercial build or managing a complex general contractor takeoff across multiple trades, the smallest oversight in the bid phase can result in scheduling conflicts, margin losses, or rework later on.

This post breaks down seven common bidding mistakes and how to avoid them so you’re not just winning jobs but setting them up for success.

7 Common Construction Bidding Mistakes Contractors Make

1. Inaccurate Takeoffs

Your bid is only as solid as your takeoff. Miss a symbol, count a fixture wrong, or skip a detail and your numbers fall apart.

To avoid it:

  • Always start with clean, up-to-date plans
  • Use AI takeoff software to reduce manual errors and speed up symbol detection
  • Build in a review step before pricing anything

Tools like Beam AI help estimators get their time back by saving up to 90% time spend on takeoffs and giving QA verified, ready-to-use quantities in 24-72 hours.   

2. Underestimating Project Costs

Bidding low might get you the bid, but underestimating costs will hurt you once the project starts. It is very common for teams to miss key items or underestimate the complexity when juggling between multiple projects. Some of the reasons behind this are: 

  • Unclear scope
  • Outdated pricing
  • Ignoring site-specific conditions

Prevent it by:

  • Updating your unit price database regularly
  • Consulting with suppliers for live material costs
  • Reviewing similar past jobs to gut-check your numbers

If you’re using construction takeoff software or working across multiple trades, make sure to account for inter-scope dependencies that can inflate cost if missed.

3. Poor Risk Management

Some risk is unavoidable but bidding without factoring in known risks is asking for trouble. It’s not just about spotting the hazards, it’s about having a plan in place before they hit.

Here’s how to stay ahead: 

  • Identify high-risk areas in your scope
  • Include contingencies or allowances where needed
  • Plan for alternative suppliers or sequencing adjustments

4. Rushed Bids

When deadlines close in, it’s tempting to hit send before you’re truly ready. But speed without structure leads to costly oversights and sloppy submissions.

Tight deadlines are real, but a rushed bid leads to:

  • Missed addenda
  • Sloppy scopes
  • Unclear inclusions/exclusions

Build internal review deadlines, use templates where possible, and start early when you can. Fast doesn’t have to mean careless.

  1. Lack of Internal Coordination

Construction bidding is a team sport. When estimating, operations, and field teams aren’t on the same page, gaps show up in your numbers and execution.

Here’s how to fix it:

  • Host a pre-bid kickoff meeting
  • Loop in ops or supers for constructability input
  • Use shared platforms to collaborate and review

Your best bids usually come from cross-functional teamwork.

6. Incomplete Documentation

Submitting a strong bid isn’t just about numbers – it’s about showing you’ve done your homework. Missing paperwork or sloppy forms can disqualify you before anyone even reads your estimate.

To avoid it:

  • Use a submission checklist
  • Assign one final reviewer per bid
  • Keep a central folder with all boilerplate documents updated

7. Bidding on the Wrong Jobs

Not every job is worth chasing. If a project looks like a bad fit or will stretch your team thin it might be better to walk.

Here are few things to check before bidding:

  • Evaluate scope fit and timeline
  • Assess internal capacity and labor availability
  • Look at margin potential, not just revenue size

Fewer, better bids often lead to stronger results.

Final Thoughts

Winning more work starts with bidding smarter. That means getting your quantities right, pricing accurately, and knowing which jobs are worth chasing.

Whether you’re an estimator using AI takeoff software to do the paving takeoffs, or a project manager aligning cross-functional teams, each step in the bid process adds up. And every mistake you avoid puts your company one step ahead.

Refine your process, lean on the right tools, and make every bid count.

Jeff "King of the Castle"
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