Definition: Request for Proposal

What is a request for proposal?

A request for proposal (RFP) is a formal document that is issued by a company to solicit proposals from potential vendors. An RFP outlines the company's requirements and specifications for a particular project or service and invites vendors to submit proposals outlining how they can meet those requirements. After evaluating multiple proposals, the company can select the vendor that best meets their needs.

Typically, an RFP includes detailed information about the company's needs and objectives, the scope of the project, the timeline and budget, and the evaluation criteria that will be used to assess proposals. Vendors are expected to submit a detailed proposal that addresses each of these elements and may be required to provide additional information, such as references or examples of previous work.