Rejecting a bid. Sample letter


  1. After a brief greeting, state what the letter is about.
  2. Inform bidder of bid rejection, reiterating their bid details.
  3. State the winner of the bid.
  4. Thank the bidder for the interest shown and give an open invitation to bid again on the next project.
  5. Conclude the letter with by wishing the bidder better luck during the next bidding process.


[Senders Name]
[Address line]
[State, ZIP Code]

[Letter Date]

[Recipients Name]
[Address line]
[State, ZIP Code]

[Subject: Normally bold, summarizes the intention of the letter] -Optional-

Dear [Recipients Name],

Good day to you. This letter is about Grisham Chemicals Incorporated's bid for the Wisconsin State University's Chemistry Department Laboratory supply project.

We regret to inform you that Grisham Chemicals did not get the said project for you which you bid a total of USD 1,000,000 to provide the necessary supplies. The project has been awarded to Undercut Manufacturing, with their bid details available for your perusal upon request as our policy for financial transparency requires. Kindly contact our finance department if you wish to get a copy.

Thank you for showing your interest in the project and taking the time to prepare your bid. We look forward to working with you on other projects.


[Senders Name]
[Senders Title] -Optional-

[Enclosures: number] - Optional -
cc: [Name of copy recipient] - Optional -

Rejecting a bid. Sample letter.

Further things to consider when writing rejection letters to vendors

Further things to consider when writing rejection letters to vendors

Rejection Letters

Rejection letters are letters written to inform people that something they have made, written, etc., has been turned down. These letters can be used, for instance, to inform people that they have not been chosen for a job or school enrollment or that a book they have written has not been chosen for publishing. Conveying rejection can be difficult because most people don't know how to say the words without hurting the recipient. Actually, in most cases, people don't write rejection letters at all. They just drop communication with the concerned person, (which is rude). Rejection letters are important because they help build trust and develop goodwill between the parties involved.

After rejection, the people affected will be frustrated no matter what. However, well-drafted rejection letters can soften the blow and encourage them to keep trying. An excellent rejection letter is brief, considerate, and to the point. Begin by thanking the recipient for trying. State your decision politely and assertively, giving reasons for it. If you are rejecting a job application, for instance, give a genuine reason for it and encourage the recipient to apply for other positions. End on a positive note and wish the recipient success.

Letters to Vendors

Letters to vendors are letters written to people or companies offering goods for sale. These letters could be written to inquire information about a product, terminate a contract with a vendor, or to inform a vendor of relocating of business. If you own a company, writing to your vendors is important as it provides you and the recipient with proof that you actually requested something or took action regarding an issue. It is also an effective way to communicate sensitive information that may not be communicated on the phone.

Letters to vendors must be written in the standard business letter format and should use an official letterhead. Start the letter with a statement that informs the recipient of the purpose of your letter. Explain the letter in details providing all the important information. For instance, if you are writing to terminate your contract with the recipient, mention the date when you want to effect the change. However, if your letter is to inform the recipient of your business relocation, you should provide the new business location and address. Be brief and use a professional tone. Finish on a positive tone and sign the letter with your full name.

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