what is EMD in tender?

Question

Kian Lynch · Accepted Answer

EMD is Earnest Money Deposit, which is placed to show your commitment towards a certain transaction (real estate purchase, tender etc.) It is normally refunded if satisfactory performance is accorded as expected; otherwise forfeited.Eg; in the tender to buy used vehicles, the EMD will be forfieted if the successful tenderer does not pay the amounts due and get the goods. On the other hand, the said EMD will be normally adjusted against the bid price.

Kian Lynch · Answer

For the best answers, search on this site https://shorturl.im/axvHSEarnest money deposit (EMD) amount in a tender is based on the logic of the recovery of the expenditure incurred by the tender floating organisation from its initialisation to the final award of the tender. In case, the agency to whom the tender is awarded denies to take up the work, the tender floating organisation can fore fit the EMD. In practise it is taken to be 2 to 5 percentage of the amount put to tender. Lesser the amount put to tender higher is the percentage for EMD.

Kian Lynch · Answer

Every tender, other than SINGLE tender shall be accompanied by Earnest MONEYDeposit, not exceeding one percent of the value of the procurement by means of a demand draft or bankers cheque or pay order.

Kian Lynch · Answer

what is pre qualification documents in tender

Kian Lynch · Answer

I am curious to know this too

Lavinia Carroll

what is EMD in tender?

5 Answers

AI-Powered Insights

Want to answer this question?

Categories

Tags

Related Questions