Business decision tool

Proposal Cost Recovery Calculator

Calculate the contribution per won contract needed to recover bid and proposal expense.

Runs locally

Inputs and results stay in this browser. Currency symbols are illustrative; use any consistent currency.

Proposal cost per expected win$28,181.82
Expected proposal-program contribution$209,280.00
Break-even contribution per win$28,181.82

Understand Proposal Cost Recovery

One idea, three depths

Choose how deeply to explain Proposal Cost Recovery

Proposal Cost Recovery: Calculate the contribution per won contract needed to recover bid and proposal expense.

Age 5Explain it to a 5-year-oldStart with a picture

Imagine using Proposal Cost Recovery to answer this question: calculate the contribution per won contract needed to recover bid and proposal expense? Enter Proposals submitted, Average internal and external cost per proposal, Expected win rate, and 1 other input; the calculator shows Proposal cost per expected win. Try changing one number and watch what happens to Proposal cost per expected win. The answer tells you Proposal cost per expected win.

Age 15Explain it to a 15-year-oldConnect it to the formula

Include technical, legal and management time as well as direct tender fees. The rule is Proposal cost per win = proposals × cost per proposal ÷ wins. Its input values are Proposals submitted, Average internal and external cost per proposal, Expected win rate (%), Average contribution per won contract, and the main result is Proposal cost per expected win. Try changing one number and watch what happens to Proposal cost per expected win.

CollegeExplain it at college levelState the model precisely

This tool models one operating decision from explicitly supplied company assumptions. The implemented relation is Proposal cost per win = proposals × cost per proposal ÷ wins, evaluated from Proposals submitted, Average internal and external cost per proposal, Expected win rate (%), Average contribution per won contract to produce Proposal cost per expected win. Include technical, legal and management time as well as direct tender fees. The model omits unentered taxes, cash timing, legal constraints and market uncertainty. Compare the output with company records and a downside scenario before committing resources.

The decision this tool supports

Calculate the contribution per won contract needed to recover bid and proposal expense.

Why the business model works

Include technical, legal and management time as well as direct tender fees.

Inputs and operating assumptions

This model uses Proposals submitted, Average internal and external cost per proposal, Expected win rate, Average contribution per won contract. Keep currencies, accounting treatment and time periods consistent with one another.

The formula

Proposal cost per win = proposals × cost per proposal ÷ wins

What the calculator produces

The primary output is Proposal cost per expected win; it also exposes Expected proposal-program contribution, Break-even contribution per win. Change one assumption at a time so the comparison remains explainable.

Before using the result in a decision

This compact model cannot capture every tax, accounting, legal, market or operational condition. Compare the output with current company records, cash timing and the downside scenario before committing resources.

Supporting sourcesAcademic referencesPrimary standards, textbooks and complete citations

Standards, reading and academic references

Use the calculator as the worked interaction, then consult the primary standards and academic textbooks listed below. MW SysArc links to the original sources; the explanation on this page is original and does not reproduce them.

Introduction to Business 2e

Read the free OpenStax business textbook
Cite this book
APA 7
Gitman, L. J., McDaniel, C., Shah, A., Reece, M., Koffel, L., Talsma, B., & Hyatt, J. C. (2026). Introduction to business 2e. OpenStax. https://openstax.org/books/introduction-business-2e/pages/1-introduction
MLA 9
Gitman, Lawrence J., et al. Introduction to Business 2e. OpenStax, 2026, https://openstax.org/books/introduction-business-2e/pages/1-introduction.
Chicago author-date
Gitman, Lawrence J., Carl McDaniel, Amit Shah, Monique Reece, Linda Koffel, Bethann Talsma, and James C. Hyatt. 2026. Introduction to Business 2e. Houston, TX: OpenStax. https://openstax.org/books/introduction-business-2e/pages/1-introduction.

OpenStax entries are free to read online. Follow the licence shown on each linked source before redistributing or adapting its content.

Reuse the page responsiblyCite this pageAPA, MLA, Chicago, Harvard, BibTeX and RIS

These formats cite this calculator page itself. They are separate from the academic references above, which support the mathematical method and terminology.

APA 7

MW SysArc. (2026, July 21). Proposal Cost Recovery Calculator. MW SysArc Tools. https://business.mwsysarc.com/proposal-cost-recovery

MLA 9

MW SysArc. “Proposal Cost Recovery Calculator.” MW SysArc Tools, 21 July 2026, https://business.mwsysarc.com/proposal-cost-recovery. Accessed 30 Aug. 2026.

Chicago 17

MW SysArc. “Proposal Cost Recovery Calculator.” MW SysArc Tools. Published July 21, 2026. Accessed August 30, 2026. https://business.mwsysarc.com/proposal-cost-recovery.

Harvard

MW SysArc (2026) ‘Proposal Cost Recovery Calculator’, MW SysArc Tools. Published 21 July 2026. Available at: https://business.mwsysarc.com/proposal-cost-recovery (Accessed: 30 August 2026).

BibTeX and RIS records

BibTeX

@misc{mwsysarc_proposal_cost_recovery_2026,
  author = {{MW SysArc}},
  title = {Proposal Cost Recovery Calculator},
  howpublished = {MW SysArc Tools},
  year = {2026},
  url = {https://business.mwsysarc.com/proposal-cost-recovery},
  note = {Published July 21, 2026; accessed August 30, 2026}
}

RIS

TY  - ELEC
AU  - MW SysArc
TI  - Proposal Cost Recovery Calculator
T2  - MW SysArc Tools
PY  - 2026
DA  - 2026-07-21
Y2  - 2026-08-30
UR  - https://business.mwsysarc.com/proposal-cost-recovery
N1  - Published July 21, 2026
ER  -

Clear answers

Frequently asked questions

What does the Proposal Cost Recovery do?

Calculate the contribution per won contract needed to recover bid and proposal expense.

How does the Proposal Cost Recovery work?

The calculator applies Proposal cost per win = proposals × cost per proposal ÷ wins. Include technical, legal and management time as well as direct tender fees.

What can I learn from the Proposal Cost Recovery?

It connects company inputs to a transparent business result. Change one value at a time to compare operating scenarios.

Does MW SysArc receive or store what I enter?

No. The calculation runs locally in your browser. MW SysArc does not receive or store your calculation inputs.

How should I use the result?

Use the result as a practical reference. Review the inputs, assumptions and stated limitations before relying on it.

Last reviewed . Calculations tested .

MW SysArc Certified