Contract & Tender Security
Bid (Tender) Bonds
Show tender committees you are a serious, committed bidder.
What It Is
A bid bond, also called a tender bond, is submitted alongside a tender proposal to demonstrate that the bidder is financially capable and genuinely committed to honouring the terms of their bid if awarded the contract. It reassures the procuring entity that shortlisted bidders will not withdraw, alter their pricing, or fail to proceed once selected.
If a bidder who has been awarded a tender declines to sign the contract, fails to provide the required performance bond, or otherwise withdraws after the tender validity period, the procuring entity may call on the bid bond to recover the resulting costs, such as re-tendering expenses.
Bid bonds are almost universally required in public procurement in Kenya and are typically set as a small percentage of the estimated contract value, making them a low-cost way to qualify for tender participation.
Who It's For
- Contractors and suppliers submitting tenders to public or private entities
- Firms bidding for county, national government, or parastatal contracts
- Businesses participating in multiple concurrent tenders
- First-time bidders needing to demonstrate credibility
Key Benefits
- Meets a mandatory tender requirement quickly and affordably
- Signals credibility and seriousness to the procuring entity
- Fast turnaround so bid deadlines are never missed
- Available for single tenders or as a facility across multiple bids
- No impact on existing bank credit lines
How to Apply
Send the tender document
Share the tender advertisement or bid document specifying the bond amount and validity period required.
Quick assessment
We confirm your company details and the tender requirements to prepare the bond wording.
Issuance
The bid bond is issued in the exact format required, ready to be submitted with your tender.
Typical Requirements
- Certificate of incorporation and KRA PIN
- Copy of the tender document or advertisement
- Company profile and relevant experience
- Note: requirements vary by facility and procuring entity
Frequently Asked Questions
Ready to apply for a bid (tender) bonds?
Share your contract or tender details and receive a structured response within one business day.