A bid is an offer or proposal made by one party to another party in response to a request for goods or services. It may be made in response to a formal request for bids, or it may be an informal offer made in the course of negotiations. Bids can be made by individuals, businesses, or organizations and are typically used in the context of purchasing or contracting for goods or services. The bid may include the price that the bidder is willing to pay for the goods or services, as well as any other terms and conditions that apply to the proposed transaction.