EXPRESSION OF INTEREST (EOI)

Expression of interest is a call to potential providers of goods and/or services to register interest in supplying them. EOI describes requirements or specifications and seeking information from potential providers that demonstrate their ability to meet those requirements. An expression of interest provides a starting point in the overall procurement process. Government agencies may publish an expression of interest to attract potential bidders and to shortlist potential bidders. The EOI is an optimal early phase in the tendering process. Prospective tenderers express interest as described in the advertisement resulting in the tender documents being sent to the prospective tenderer. 

Expression of Interest could also be defined as a formal reply to an open advertisement aside the media showing the interest of the consultant to undertake job with all the stated terms and conditions. It is defined as guiding statement which defines the scope of an investigation or similar piece of work. In most cases, it states the purpose or the objective of the report. The objective of a report determines the type of information to be collected during the period of investigation. This is very important in estate management consultancy services profession. When the surveyor is set to inspect a property, it must be for a purpose and the necessary information to be collected on the site depends on the purpose of inspecting such property. No good report will ever be produced where the objectives of the report is not properly defined. An expression of interest (EOI) may be published by government agencies to bring in potential bidders after which they are shortlisted. Expression of interest gives a starting point in the overall process of procurement of contracts by tenders.

Other definitions of expression of interest:

• A call to potential providers of goods and/or services to register interest in supplying them. Commonly a document describing requirements or specifications and seeking information from potential providers that demonstrate their ability to meet those requirements (en.wiktionary.org/wiki/expression_of_interest).
• Technical Version: an advertisement or letter requesting responses from suitably qualified firms or individuals, usually by a set date and usually in response to an information package containing the Terms of Reference. The term is usually used in regards to the supply of professional services. (www.ccd.net/resources/guide/glossary/glossary1.html).
• This is another term for a bid (searchforahome.stockporthomes.org/projector/page/cbl-glossary). 

Importance of expression of interest

Expression of interest usually contains useful information and it also helps identify:

• Invite prospective consultants or contractors to make submission
• Enable contractors and vendors to be assessed for inclusion or otherwise in a shortlist for invitation to submit a consultancy proposal or a tender.
• Enable contractors and vendors to state their ability to meet specific project requirements, either individually or by combining their abilities.
• The available technologies, products or service available in the market place to meet their business need
• The willing and interested parties or vendors offering the potential products or services
• Whether any of these potential companies will accept the terms and conditions imposed by a contract or deliverable expectations.
• The maturity and experience of the companies offering those products or services, and their abilities to deliver similar products or services.
• The likely indication of costs associated with delivering the product or service

The following are the components of EOI:

• Terms of reference: This is the structure and purpose of the project negotiation, committee, meeting, etc. when used with regard to a project; they can also be regarded as a project charter. Terms of reference also describes how it will be defined, developed and certified. They should also provide a documented reason for making future decisions and for switching or developing a common understanding of the meanings among stakeholder. In a bid to meet these standards, success factors/risk and restraints should be the fundamental keys. Attaining detailed terms of references is critical as they define the
  • What has to be achieved
  • Who will take part in achieving it
  • When it will be achieved

• Scope of work: This can be defined as covering areas and extent of the work bided for. The scope includes location, length of work, schedule and how the present stage of work.
• Companies profile: This can be described as the company’s personal profile including the past projects that has been handled by the company track records managements terms expertise, specialization area in the field.
• General information: This can be described as some important documents that need to be attached with the bid which normally includes companies tax clearance certificate for recent years, companies audited account, evidence of employment and technical capacity, annual turnover of the company , VAT registration , evidence of past VAT payment, evidence of incorporation, etc.
• Bidding fee: This can be defined as the amount paid by the contractor or a specific amount requested for at the time of advertising the contract in the news paper. The fee is aimed to reduce the number of companies that will likely express interest in the job. It is used as the administrative expenses which the contract has to pay before his documents are processed and considered.
• Submission: This is described as the final state of submitting all the necessary documents that relate to the contract as stipulated in the advertisement. The submission of interest has a time frame on the descriptions of the company. Below is a typical example of an Expression of Interest: (EOI).

Tips on how to prepare expression of interest

• An expression of interest is basically a profile of your company detailing your company roles, ability and the capacity to effectively execute the contract if awarded to it.
• The expression of interest letter should build your company’s reputation and clearly set your company apart from others in the industry.
• It should compel the business to have a strong desire to answer the letter and work with your business.
• Always have a couple of people from your office read over the expression of interest letter. When you have multiple people checking it, you can make sure it is not overdone.
• It should look polished, but it should not excessively boast about the accomplishments of your company.
• You need to write the letter in the mindset of what is in it for the addressee, and not what is in it for your company.
• The other important thing about writing an expression of interest letter is how quickly it captures the reader’s attention and how it engages them.
• The opening paragraph should be brief and to the point, but it should also hook them in immediately.

Estate Surveyors and Valuers and the rules of professional practice with regard to expression of interest

Estate surveying and valuation as a reputable profession in Nigeria is not exempted from the relevant laws that prohibit professionals from advertising their services as well as competing for client’s instructions. More so, it was strongly expressed in the code of conduct guiding their practice in Nigeria known as Estate Surveyors and Valuers (Registration, etc) Act, CAP E13 LFN 2004. Section 13 of the Rules and Regulations for the practice of estate surveying and valuation made under the Estate Surveyors and Valuers (Registration, Etc) Act, CAP E13, LFN, 2007stated thus:

“Without prejudice to the provisions of section 28 of these rules and regulation, no Estate Surveyor and Valuer shall solicit instructions for work in any manner whatsoever, provided that this rule shall not apply in the case of a general information about the firm or organisation in question and not related to canvassing to any specific job”.

It is therefore against the professional ethics of the profession for Estate Surveyors and Valuers to advertise and solicit for briefs. But under the purview of Expression of Interest, the client is the one that invites the professionals through his advertisement or publication and in this instance, the professional Estate Surveyors and Valuers merely respond to the advert by stating his/her capacity to execute the advertised contract. Furthermore, Section 28 (a) of the Rules and Regulations for the practice of estate surveying and valuation state that:

“An Estate Surveyors and Valuer in response to any enquiry by a prospective client in an exceptional case (bid or otherwise), quote the fee or commission for which he could be prepared to undertake for the prospective client, the particular work which is the subject of the enquiry, notwithstanding the Estate Surveyors and Valuer may know, or have reason to suppose, that the prospective client may seek to have sought, quotations from other Estate Surveyors and Valuers.”

In addition, when there is need for an Expression of Interest, the prospective client reserves the right to stipulate the modalities and the scope of the information required (term of reference). This process is ethically acceptable so far it does not contravene the provisions as contained in section 12(a) to (c) which state as follows:

  No Estate Surveyor and Valuer shall:-

• Offer or provide whether to a prospective client or a third party any gift or favour whether in money or in kind designed to secure instructions for work;
• With the object of securing instructions or supplanting another member of the Estate Surveying profession knowingly compete on the basis of fees and commissions;
• Pay any fee or commission to a third party not being a member of Estate Surveying and Valuation profession for the introduction of a client; or

Section 29 provides that: An Estate Surveyor and Valuer shall solicit instruction for the sale or letting of landed property provided:-

• He does so by means of a personally addressed letter sent to the owner of the property concerned and not otherwise; and
• The body of such letter includes a statement that, if the recipient has already instructed another Agent, instruction can only be accepted from, and as sub-agent to, or
• The Estate Surveyor and Valuer did not know, and it is deemed to have known that the owner of the property concerned had already instructed another Agent
• No Estate Surveyor and Valuer shall permit more than one TO LET/FOR SALE Board to be displayed on the same property at a time.