What is an RFP? An RFP (request for proposal) is a formal document in which a buyer describes a problem, its requirements and its evaluation criteria, then invites suppliers to propose how they would solve it and at what price. You use it when several approaches could work and you need to compare them fairly.
In other words, an RFP asks suppliers for a solution, not just a quote. That makes it the right tool for software builds, IT services, agencies and consultancy. However, it also makes the document only as good as the thinking behind it. This guide explains the RFP meaning, when to choose it over an RFI or RFQ, what to put in it, and how to score the answers.
RFP meaning: the short definition
The RFP meaning is simple once you strip away the procurement jargon. A request for proposal does three jobs:
- It tells suppliers what problem you need to solve and why.
- It sets out the requirements, constraints and budget range.
- It explains how you will judge the proposals and choose a winner.
Because every supplier answers the same questions, you can compare their responses side by side. As a result, the decision rests on evidence rather than on who gave the best sales pitch. For the buyer, that brings transparency. For the supplier, it brings a fair chance to compete.
So, when someone asks “what is an RFP for?”, the honest answer is this: it turns a vague need into a structured, comparable competition.
RFP vs RFQ vs RFI: which one do you need?
Buyers often mix up the three documents. Each one, however, answers a different question. Use this comparison to pick the right one.
| RFI (request for information) | RFP (request for proposal) | RFQ (request for quotation) | |
|---|---|---|---|
| Question it asks | Who can help, and how | How would you solve this, and at what price | What does this exact item cost |
| When to use it | Early research, market scan | The solution is open to interpretation | The specification is fixed |
| What you get back | Capabilities and approaches | Solution, plan, team and price | A price and delivery terms |
| Main criterion | Fit for the shortlist | Weighted mix of quality and cost | Mostly price |
| Typical example | Which vendors build booking platforms | Design and build a customer portal | 50 laptops of a given model |
In practice, the three often run in sequence. First, an RFI builds a shortlist. Next, the RFP gathers full proposals from that shortlist. Finally, an RFQ can settle the price of well-defined extras such as licences or hardware.
When to use an RFP
An RFP earns its effort when the purchase is complex, the stakes are high and several solutions could work. Typical triggers include:
- building or replacing a software product or internal platform;
- choosing an implementation partner for a CRM, ERP or data project;
- outsourcing a managed IT service, support desk or hosting;
- appointing an agency or consultancy for a long engagement;
- any purchase where your own policy, or the law, requires open competition.
By contrast, skip the RFP for small, low-risk or commodity purchases. A short RFQ, or even three quotes by email, is faster for everyone.
What goes in an RFP: a checklist
A good RFP is short enough to read and complete enough to price. Use this checklist as a template for your own document:
- Background: who you are, what you do and why this project exists now;
- Objectives: the business outcomes you expect, ideally measurable;
- Scope of work: what is in scope, what is out, and known dependencies;
- Requirements: functional needs, non-functional needs (security, performance, accessibility) and must-haves versus nice-to-haves;
- Current landscape: existing systems, integrations, data and users;
- Budget range and commercial model: fixed price, time and materials, or phased;
- Timeline: key dates for questions, submission, shortlisting, decision and start;
- Submission format: structure, page limits, pricing template and mandatory documents;
- Evaluation criteria: the criteria and their weights, published up front;
- Terms: contract basis, intellectual property, data protection and confidentiality;
- Contact and clarification process: one named contact and a deadline for questions.
For the requirements part, lean on proper documents instead of a loose wish list. A business requirements document captures the outcomes and rules. Meanwhile, a software requirements specification turns them into something a supplier can estimate.
The RFP process step by step
The RFP process follows the same broad shape in most organisations. Here are the eight steps.
- Define the need. Agree the problem, the outcomes and the budget with the people who own them.
- Gather requirements. Interview users, map current processes and separate must-haves from preferences.
- Write the RFP. Draft the document using the checklist above and a standard response template.
- Set the scoring model. Fix the criteria and weights before any proposal arrives.
- Issue the RFP. Send it to a shortlist, or publish it if open competition applies.
- Answer questions. Share every clarification with all bidders so nobody gains an edge.
- Evaluate and shortlist. Score each proposal independently, then invite the top two or three to present.
- Negotiate and award. Confirm scope and price, give feedback to the unsuccessful suppliers and sign.
Allow realistic time for each step. Suppliers need enough weeks to produce a thoughtful answer. Otherwise you get generic, padded proposals.
How to evaluate RFP proposals: a weighted scoring example
A weighted scoring model keeps the evaluation fair and explainable. Each evaluator scores every criterion from 0 to 5. Then you multiply each score by its weight and add the results.
Here is a worked example for a customer portal build, with two fictional bidders:
| Criterion | Weight | Supplier A score | Supplier A weighted | Supplier B score | Supplier B weighted |
|---|---|---|---|---|---|
| Understanding of requirements | 25% | 4 | 1.00 | 3 | 0.75 |
| Technical approach and architecture | 20% | 4 | 0.80 | 4 | 0.80 |
| Relevant experience and team | 15% | 3 | 0.45 | 5 | 0.75 |
| Delivery plan and risk handling | 15% | 4 | 0.60 | 2 | 0.30 |
| Price and commercial terms | 25% | 3 | 0.75 | 5 | 1.25 |
| Total | 100% | 3.60 | 3.85 |
Supplier B wins on paper, mainly on price and team. Still, the low delivery score is a warning sign. That is exactly what the shortlist presentation should probe before you sign. A few rules keep scoring honest:
- Score independently first, then meet to agree a moderated score.
- Write a one-line reason for every score.
- Never change weights after proposals arrive.
RFPs for software and IT projects
A software RFP needs more care than most. The supplier cannot price what it cannot picture, and small gaps become large change requests later. Therefore, include:
- user roles and the main user journeys, not just a list of features;
- functional requirements written as testable statements;
- non-functional requirements such as uptime, response times, security and UK GDPR obligations;
- integrations, data migration needs and who owns each existing system;
- hosting preferences, support hours and service levels after launch;
- who will own the code, and how handover will work.
Also ask each supplier to state its assumptions. Assumptions reveal how a bidder has read your scope, and they often explain big price gaps. If your scope is still fuzzy, run a short product discovery phase before you issue the RFP.
UK public sector: the Procurement Act 2023
If you buy for a UK public body, formal rules apply. The Procurement Act 2023 came into force on 24 February 2025. It replaced the older regime, including the Public Contracts Regulations 2015, for procurements started from that date.
In brief, the Act introduces a few changes an RFP writer should know:
- contracting authorities award on the “most advantageous tender”, which lets them weigh quality alongside price;
- a new competitive flexible procedure lets buyers design their own stages, such as negotiation rounds;
- notices for covered procurements go on the central digital platform, Find a Tender.
Thresholds, exemptions and notice rules are detailed. So, check the official Procurement Act 2023 guidance or your procurement team before you publish. Private companies, by contrast, can run their RFP process however they choose.
Common RFP mistakes to avoid
Most failed RFPs share the same few problems:
- Vague requirements. Suppliers fill the gaps with their own assumptions, so proposals stop being comparable.
- A solution disguised as a requirement. Naming a specific tool or design rules out better options.
- No budget range. Bidders guess, and you waste time on proposals you cannot afford.
- Hidden or late scoring criteria. This invites disputes and weakens trust.
- Unrealistic deadlines. Rushed suppliers submit generic text or decline to bid.
- Too many bidders. Twenty proposals take weeks to score well; five focused ones take days.
- Price-only decisions on complex work. The cheapest bid often becomes the most expensive project.
Why a software RFP depends on its requirements
Here is the part most guides skip. An RFP for software is only as good as the requirements behind it. If the business goals, user needs and constraints are unclear, even a perfectly formatted RFP produces proposals that cannot be compared.
That is where Severus usually starts. We act as the translator between the business and the engineering team. First, we turn goals into requirements that suppliers can price. Then we help score what comes back. Our SaaS product consulting work shapes product scope before you go to market. For wider change, our digital transformation strategy service sets the roadmap your RFPs should follow. You can also see how this plays out in our client case studies.
Severus is a business automation and operations consulting firm helping companies redesign workflows, integrate systems and implement automation and AI to reduce operating costs and manual work. Before you write an RFP, we help you decide whether to buy, integrate, automate or build. That objective technology assessment keeps the business problem first and the technology second.
Frequently Asked Questions
An RFP, or request for proposal, is a document that describes what you need and invites suppliers to explain how they would deliver it and at what cost. You then score the proposals against published criteria and choose the best overall fit, not simply the lowest price.
An RFI gathers information about the market and possible suppliers. An RFP asks for a full solution and price when several approaches could work. An RFQ asks for a price on something already precisely specified. Many buyers use an RFI to build a shortlist and then send the RFP to that shortlist.
It depends on the size and risk of the purchase. A focused private-sector software RFP often runs for several weeks from writing to award, while public-sector procurements usually take longer because of statutory notices and standstill periods. Give suppliers enough time to write a considered response.
Usually a project owner or procurement lead writes it, with input from the people who will use and run the solution. For software, include someone who can translate business needs into technical requirements, because gaps in that translation cause most budget and scope disputes later.
Not always. For a low-value or simple purchase, three quotes are enough. However, a lightweight RFP pays off when a startup or small business commissions custom software, a platform migration or a long-term IT partner, because it forces clarity on scope before money is committed.
Strategy before code. Every time.
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