Bid capacity calculator

Many works tenders do not only ask for turnover. They also ask whether the bidder can carry the new job on top of the jobs already in hand. Buyers such as CPWD and state PWDs test this with a figure called assessed available bid capacity. If it is lower than the estimated cost of the work, the bid can be rejected even when turnover and experience look fine.

The formula in common use is (2 × A × N) − B. A is the highest value of civil engineering works executed in any one of the last five financial years, brought up to current price level where the tender asks for it. N is the number of years prescribed for completing the work in the tender. B is the value of existing commitments and ongoing works that will still be running over the next N years.

Take an example. If A is 5 crore rupees, N is 2 years and B is 2 crore rupees, then capacity is 2 × 5 × 2 minus 2, which is 18 crore rupees. A tender with an estimated cost of 8 crore rupees is covered. A tender of 20 crore rupees is short by 2 crore rupees. Enter your own numbers above, and add the tender estimate to see Eligible or Short by the gap.

The result can turn negative. That happens when B is larger than 2 × A × N, which means your ongoing commitments already exceed what the formula allows for the period. The calculator warns you in that case, because no new works tender of that type is likely to pass the test until some of the existing work is completed.

Read the tender before you rely on any figure. Each tender defines A, N and B in its own eligibility clause, may use a different multiplier, and may require the figure to be certified by a chartered accountant or an officer of the client. Use this page to shortlist quickly, then confirm with the document. BidShakti reads the clause and checks it against your vault documents in its Go/No-Go verdict.