How many suppliers should I send an RFQ to?

Enough to create genuine competition but few enough that each takes it seriously — in practice, a focused shortlist of relevant suppliers outperforms a mass mail-out. ProcClinic's supplier discovery exists to build exactly that relevant shortlist for UAE requirements.

Should I share my budget in the RFQ?

There is no single rule. Sharing a realistic budget range can save time where budget is a hard constraint; withholding it can reveal true market pricing. What matters is that every supplier receives the same information.

Can ProcClinic run the RFQ process for us?

Yes. RFQ handling — preparing and issuing the RFQ, holding suppliers to a common format and deadline, and normalising responses into a like-for-like comparison — is a separately agreed paid ProcClinic service. Identifying relevant suppliers to invite is free.

Is this RFQ guidance legally binding advice?

No. It is general procurement guidance. RFQs and the contracts that follow them can create legal obligations; for significant or regulated purchases, involve your own legal and finance advisers.

How to Write an Effective RFQ in the UAE

An RFQ (Request for Quotation) is a formal document a buyer sends to suppliers asking them to price a precisely defined requirement — specific items, quantities, specifications, delivery terms and commercial conditions. Because every supplier prices the same requirement, the resulting quotations can be compared like-for-like. An RFQ works best when the buyer knows exactly what is needed; it differs from an RFI (used to gather information about suppliers and options) and an RFP (used when the solution itself must be proposed, not just priced).

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RFQ vs RFI vs RFP — which do you need?

If you can write the specification precisely enough that two suppliers would quote the same thing, you are in RFQ territory. If you cannot, start with an RFI or an RFP instead.

When to use an RFI, RFQ or RFP
Instrument	Use it when	Suppliers respond with
RFI — Request for Information	You are exploring the market and do not yet know the options	Capability information, product ranges, indicative approaches
RFQ — Request for Quotation	You know exactly what you need and want comparable prices	Itemised prices against your specification, with terms
RFP — Request for Proposal	You know the problem but want suppliers to propose the solution	Proposed solutions, methodology, timelines and pricing

What to include in an RFQ

Scope and background: a short description of what you are buying and why, so suppliers quote in context.
Quantities: exact quantities and units, plus expected order frequency if this is recurring — pricing at 100 units differs from pricing at 10,000.
Specifications: precise technical requirements per line item — brand and model references, standards, grades, sizes. Ambiguity here destroys comparability.
Approved or equivalent brands: either name the accepted brands, or state “or equivalent” and require the technical comparison proving equivalence.
Required documentation: certificates, test reports, authorisation letters, samples or datasheets the supplier must submit with the quote.
Delivery location and deadline: exact delivery address or site, required delivery date or window, and any access constraints.
Installation and commissioning: state explicitly whether supply includes installation, testing, commissioning and training — or excludes them.
Warranty and service: minimum warranty expected, and the after-sales or spare-parts support you require for equipment.
Commercial terms: quote validity period, payment terms you expect, currency, and how price changes will be handled during validity.
Evaluation criteria: tell suppliers how you will decide — price, lead time, warranty, compliance — so they put their best offer forward on the right dimensions.
Clarification process: a named contact, a deadline for questions, and the quotation submission deadline and format.

A practical RFQ structure

A workable RFQ document usually follows this order:

Buyer company details, RFQ reference number and issue date.
Purpose and scope — one or two paragraphs of context.
Itemised requirement table: line item, specification, brand/equivalence rule, quantity, unit.
Delivery: location, deadline or schedule, access and offloading requirements.
Scope of supply: installation, commissioning, training, packaging removal — included or excluded.
Documentation required with the quotation (certificates, authorisations, samples, datasheets).
Commercial terms: validity period, payment terms, currency, VAT treatment to be stated.
Evaluation criteria and any weighting you will apply.
Clarification contact, question deadline, submission deadline and required quote format.
Terms of participation: confidentiality, right to accept or reject, no obligation to award.

VAT and commercial terms — general points

The UAE applies VAT at a standard rate of 5%. Ask every supplier to state clearly whether quoted prices include or exclude VAT, so quotations are compared on the same basis. Tax treatment can vary by item and circumstance, so confirm specifics with your finance team or a tax adviser — this guide is not tax advice.

State a quote validity window that matches your approval timeline. For volatile materials (for example steel, copper or freight-sensitive items), a short validity is realistic; forcing long validity can simply inflate prices.

Put your expected payment terms in the RFQ even if negotiable. Suppliers price differently for 100% advance versus 30-day credit, and comparable terms make comparable quotes.

Evaluation criteria

Decide your criteria before quotations arrive, and share them in the RFQ. Typical dimensions are specification compliance, total evaluated cost (not just unit price), lead time, warranty and after-sales, payment terms, and supplier standing. Stating criteria up front reduces lobbying later and keeps the decision defensible internally.

Common RFQ mistakes

Vague specifications that let each supplier quote a different product — the cheapest quote is then simply the cheapest product.
No delivery deadline or location, so lead times and freight are quoted on different assumptions.
Forgetting installation, commissioning or training in scope, then discovering the “cheaper” quote excluded them.
Not stating VAT treatment, payment terms or quote validity, making totals impossible to compare.
Sending the RFQ to too few suppliers to create real competition — or to so many that good suppliers decline to invest in a response.
No clarification window, so suppliers guess instead of asking.
Changing the requirement after quotes arrive without re-baselining all suppliers.

Frequently asked questions

How many suppliers should I send an RFQ to?: Enough to create genuine competition but few enough that each takes it seriously — in practice, a focused shortlist of relevant suppliers outperforms a mass mail-out. ProcClinic's supplier discovery exists to build exactly that relevant shortlist for UAE requirements.
Should I share my budget in the RFQ?: There is no single rule. Sharing a realistic budget range can save time where budget is a hard constraint; withholding it can reveal true market pricing. What matters is that every supplier receives the same information.
Can ProcClinic run the RFQ process for us?: Yes. RFQ handling — preparing and issuing the RFQ, holding suppliers to a common format and deadline, and normalising responses into a like-for-like comparison — is a separately agreed paid ProcClinic service. Identifying relevant suppliers to invite is free.
Is this RFQ guidance legally binding advice?: No. It is general procurement guidance. RFQs and the contracts that follow them can create legal obligations; for significant or regulated purchases, involve your own legal and finance advisers.

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