How to Win More Construction Bids in 2026

In short:

• Look for good leads and make strong connections with owners and contractors to find projects that fit your skills and abilities.
• Decide carefully if a project is worth your time by checking if it can make money, is the right size, and doesn’t have big risks.
• Keep track of how many bids you win compared to how many you’ve made. Use this to focus on project types where you’re more likely to succeed.
• Double-check your estimates by measuring accurately and making sure you’ve counted materials, labor, equipment costs, and subcontractor prices correctly.

Raise your hand if you want to win more construction bids this year.

We’re guessing your hand is raised because who doesn’t want more business? Whether you’re planning to grow your brand or just looking to get better at estimating and bidding, we all want to be successful and do the best we can.

It doesn’t matter if you’re a big name in construction, a small company, or just a single tradesperson; everyone in the industry can bid smarter by following some simple steps. The good news is we’ve collected them for you.

So, what does it take to win more construction bids? Check out the steps below.

Find Quality Construction Leads

Don’t bid on every opportunity that comes your way, or expect project leads to just come to you. You need to find the right amount of quality leads. Here’s how:

• Search for owners and general contractors you want to work with.
• Promote your business to them by showcasing your experience and expertise in your trade. Make sure they know what kind of projects you want to bid on and what skills you have. It is worth taking the time to build these relationships. Respect and trust can help lead to more invitations to bid (ITBs).

Find the Right Projects to Bid

Now that you know how to find quality projects, you must find the right ones for your business. If you win a bid for a project, your business can’t do well; it’s just as bad as losing the bid.

Please remember that it is never too late to drop a bid—even after you’ve started working on it. Once you start looking at how much it costs, you may see that you would not get a profit from the job. If you notice this, the best thing to do is dump the bid and look for another project.

Finding the right balance between bidding and winning enough jobs can be hard. You don’t want to bid and win so much that you can’t finish the jobs on time, or so little work that you’re not making money.

Choosing the right work to bid on puts you on the right path to more profits. That’s why it’s important to have a strong bid/no-bid decision process in place. 

What is a Bid-Hit Ratio?

Are you keeping track of your bid-hit ratio? If not, you need to start.

Your bid-hit ratio is the number of projects you must bid on to win one job. Understanding this ratio can help you learn how many projects you need to keep your pipeline full. It can also help you cut out bids that you may not be able to win. 

To make your bid-hit ratio work best for your business, you should perform an in-depth study:

1. List the projects you’ve bid on and put them into specific groups. These groups can be things like:
   • Public projects
   • Private projects
   • Types of buildings
   • Trades required
   • Locations of the projects
   • Who is the general contractor?
   • Who is the project owner?
2. After putting your bids into groups, mark the ones you’ve won.
3. Now, you are ready to calculate your ratio. It is the number of bids you have made compared to the ones you have won.
   • For example, if you’ve bid on seven public projects and won one of them, you would give a bid-hit ratio of 7:1.
4. Do this calculation for all your categories.
5. Now, compare all your ratios.

The goal is to find the ratio with the smallest difference between the two numbers.

Here’s an example:

If your public project bid-hit ratio is 7:1 and your bid-hit ratio for private projects is 4:1, you have a better ratio with private projects. This is because you are putting in fewer bids to win those projects. That means you should focus more on those private opportunities and spend less time bidding on public projects.

Ensure Accurate Takeoffs and Measurements

Your takeoffs lay the groundwork for your estimates. If they’re wrong or incomplete, they can throw off your estimates.

Accurate takeoffs help you know the exact amount of materials and supplies you need. You need to know the exact amounts so you can hire enough workers and get enough equipment.

You can harm your business if you miss items during your takeoff or get measurements wrong. Doing this can cause you to overestimate the costs and not win the bid, or underestimate them and risk winning a project that won’t make you much money.

Takeoff software is a great option to make sure your measurements and estimates are accurate. Plus, AI-powered tools can help you complete takeoffs much faster than you can do manually.

Whether you are using software or doing takeoffs manually, you need to remember these things:

• Fully review the plans and specifications to make sure your measurements and takeoffs are right.
• Use the right units of measurement and the correct scale. Plans may ask you to use certain written or calculated dimensions.

When plans are uploaded online or printed out, a scale can sometimes appear off. If you have any doubt or if something doesn’t look right, contact the architect. Remember, it’s better to be safe than sorry!

Nail Down Labor Costs

Labor costs can be the hardest item to nail down when it comes to your estimate. There are several things in play, including:

• The number of workers available.
• Their skill levels.
• The rate of pay.

To help you keep track, follow these steps:

• Find out how many hours it may take workers to perform a task.
• More experienced workers may be able to do tasks quickly, reducing the hours needed. However, you’ll need to pay them more.
• Workers with less experience need more time to do a job but require a lower wage.
• Don’t forget to factor in potential overtime costs.
• Determine if prevailing wages are required on the project. These may be different from what you typically pay each worker.
• Always keep records of job costs, especially labor costs. You can use these records for more accurate estimates on future projects.

If you are bidding on a U.S. Government or federally funded project, be aware that wage rates are mandated by a law known as the Davis-Bacon Act. Wage rates are determined by the project’s location and the type of construction being performed. The U.S. Department of Labor has a helpful webpage that goes over the law and what it means for you.

Federally funded projects in Canada are subject to the Fair Wages and Hours of Labour Act. The Canadian government has a webpage that goes over this law.

Many U.S. states also have prevailing wage laws for public construction projects. Wage rates can vary from state to state and county to county. This is where potential overtime costs become very important. Wage rates for overtime hours can be as much as double the prevailing wage rate.

Account for All Materials and Equipment Costs

When it comes to how materials and equipment will impact your bid, keep the following in mind:

• The costs of materials and supplies can vary by location. If your project is an area that’s new to you or requires unfamiliar materials, ask suppliers in that area for the current costs.
• Make sure you have all the right equipment. This may mean you have to rent or purchase some.
• Even if your company owns all the required equipment, check that it’s not being used for another job.
• Check if the equipment works or needs repairs that could cause delays.
• Factor in any fuel costs for the equipment and transporting it to the job site.

Unexpectedly having to rent, buy, or repair equipment will hurt your bottom line.

Evaluate Subcontractors & Subcontractor Pricing

It can be complicated to figure out how much to pay for your subcontractors. Try these steps to make it easier for you:

• You should get bids from at least 3 different companies for each trade needed. This will make sure you are getting competitive prices.
• Make sure you have clearly defined the scope of work for each subcontractor.
• Carefully review each bid to make sure the prices quoted are accurate.

It’s not necessary, but think about making a prequalification process, too. This allows you to judge your candidates better by evaluating how they did on previous projects.

Take Your Time

Preparing a competitive bid proposal takes time. If you rush a bid, you will make mistakes.

So remember:

• Read and understand the plans and scope of work.
• Take the time to gather and evaluate subcontractor bids.
• Carefully review all measurements and costs. Consider having another person, especially an estimator, double-check your work.
• Make sure you have all the required documents and paperwork. Missing just one of them is a surefire way to lose a bid.
• TIP: Create a checklist as you begin your bid so you can keep track of any required paperwork.
• Your estimates almost always determine your profit. If you underestimate your bid, there’s little to no amount of cost-cutting that can make things right.

If you don’t have the time to evaluate your bid fully, you shouldn’t attempt to submit it. Sometimes, not bidding on a project is a better business decision than submitting one you slapped together.

Win or lose, you should always conduct a final review after bids are judged. If you didn’t win, kindly ask the owner or general contractor for reasons why. Understanding what caused the result of your bid will allow you to make better decisions for future opportunities.

Final Thoughts

It doesn’t matter if your company is big or small, or if you’re in a rural area or the big city; you should be using the above steps today to win more construction bids in 2026.