One of the things that are the most important one is that every bidder should have equal opportunities and in order to get equal opportunities there are Government contracts which ensures the same. So, one of the best parts that you will know is that there are several types of Government contracts like time and material contract, indefinite delivery contract, incentive contract, cost reimbursement contract, and fixed price contract and so on. In addition, these types of contracts ensure that the eligible bidder who is in need of the contract gets the chance. In fixed priced contracts, the price is fixed prior to the bidding process. Another thing that you should know is that fixed price contract does not include the calculations of the human resources.

Government Contracts –

Plus, one more thing you will know is that in government contracts the price is already fixed and if a proposer comes forward to take the task or the accept the project, then it would imply that the proposer is accepting the fixed price of the contract or that which is quoted by the government. Government contracts are type of contracts which many proposer accepts to work on various areas like that of public welfare, repairs, construction, bio management, IT and so on. In all these kinds of work both central and state government is involved but it is mostly dependent on the scale of the work and the cause of the work.

Working of the Government & 3^rd Party –

There are also government tenders that are being offered by the government to the proposers or bidders. In addition, the state or the central government specifically shares the funding and besides, that in government contracts or tenders the officials from the governmental department are never involved in the actual matter. It is always the third party on behalf of the government organizations working through it. Cost-reimbursement contract is also one type of contract, which is important. This is completely contradictory of the fixed cost contract. In cost reimbursement contract the real cost or price is fixed, but one of the good things is that the contractor or the proposer gets to propose the ad-on cost like that of supply chain, HR, assembly and so on. It is all involved in the production process.

Incomplete Projects and Bidding –

In this kind of contract, the proposer can request for quotation. In addition, this is kind of contract in which the price of the work or materials needed or others is something that is not exactly calculated. So, because the government cannot fix a particular cost of the materials, supply chain, human resources and assembly and others, so the proposer i.e. the bidder gets much freedom to propose his cost or to make an offer. Another thing, if there is any project that is incomplete or awaiting completion or is stopped, because of certain shortcomingslikes that of people or material then the government would make an announcement and several proposers would represent. But in this method, the proposer who keeps the lowest bid will be the one who will be selected by the government. Plus, the government contracts are specially sealed once the proposer had made a certain amount bid. After sealing the proposer cannot change the bid/proposal.