Request for Quotation (RFQ)

A Request for Quotation (RFQ) is a government solicitation document used for simplified acquisitions or task/delivery orders against existing vehicles, where vendors submit non-binding price quotations rather than formal offers subject to acceptance.

What is a Request for Quotation?

An RFQ is issued under FAR Part 13 (Simplified Acquisition Procedures) or under the ordering procedures of an existing contract vehicle such as a GSA Schedule or IDIQ. Unlike an RFP, which generates binding offers that the government accepts to form a contract, an RFQ generates quotations, which are informational only. A purchase order or task order is then issued to the selected vendor, forming the actual contract.

Key characteristics of an RFQ:

• Used primarily for procurements below the simplified acquisition threshold ($250,000 for most civilian agencies)
• Also used on GSA eBuy for ordering against GSA Schedules
• Response is a quotation, not a binding offer, the vendor can withdraw or modify before a purchase order is issued
• Generally simpler documentation requirements than an RFP
• Evaluation is typically price-focused, though technical factors can be included
• Award is typically a purchase order (for open market buys) or a task order (for vehicle-based orders)

For GSA Schedule orders above $25,000, FAR 8.405 requires agencies to post the RFQ on GSA eBuy and solicit quotes from multiple schedule holders with applicable Special Item Numbers (SINs).

Why RFQs matter for government contractors

RFQs represent a large volume of government spending, particularly at the task order level under GWACs and GSA Schedules. Because they are simpler and faster than full RFPs, agencies use them frequently for routine acquisitions. A company with a GSA Schedule contract will receive dozens or hundreds of RFQs per year through GSA eBuy. Responding effectively to RFQs, with competitive pricing, relevant past performance references, and a clear technical approach, is the primary revenue driver for many small and mid-sized GovCon firms. The lower documentation burden compared to full RFPs means faster response cycles and lower bid and proposal costs.

Example

A Navy program office needs 50 workstation computers meeting specific technical specifications. The total cost is estimated at $120,000, below the simplified acquisition threshold. The contracting officer issues an RFQ to five IT vendors holding applicable GSA Schedule contracts, asking for itemized price quotations and delivery timelines. Three vendors respond with quotations. The Navy issues a purchase order to the vendor offering the best combination of price and delivery speed.

Frequently Asked Questions

What is the difference between an RFQ and an RFP?

The key distinction is legal: an RFP generates binding offers that the government accepts to form a contract. An RFQ generates quotations that are informational, the contract is formed when the government issues a purchase order or task order to the selected vendor. RFPs are used for larger, more complex procurements; RFQs for simpler or smaller requirements.

Is there a minimum response period for an RFQ?

FAR Part 13 does not specify a minimum response period for simplified acquisitions, though agencies generally allow at least 7 to 14 days. For GSA Schedule orders above the micro-purchase threshold, agencies are expected to allow reasonable response time, typically 5 to 15 days for simple orders.

Can a contractor negotiate after submitting an RFQ response?

Technically, yes, since a quotation is not a binding offer, both parties can discuss terms before the purchase order is issued. In practice, most RFQ awards are non-negotiated. If an agency wants to negotiate, it typically issues an RFP instead.

Do all RFQs get posted publicly on SAM.gov?

Not necessarily. Small purchases under $25,000 may be handled through direct solicitation to a few vendors without a SAM.gov posting. GSA Schedule orders are typically handled through GSA eBuy rather than the open SAM.gov system.