Guide

Price lists, estimates, quotations and tenders

Introduction

Every business has to give its customers prices for its products or services. There are several ways you can do this.

Many businesses, such as hairdressers, pubs and restaurants use a standardised price list that remains the same for every customer. Other businesses, such as mechanics, painters and decorators, have to provide tailored prices for the specific products or services a customer wants to buy. This is usually done with an estimate or a quotation. Larger, more complicated projects are often priced on the basis of a detailed tender document drawn up by the customer.

This guide outlines how to present your prices to your customers. It tells you how to create a price list, describes the difference between a quotation and an estimate, details how to prepare quotations and estimates and describes how to price a tender for a contract.