People often confuse the terms tender and tender offer. Tender (or tendering) is mainly defined as the invitation to submit a bid for a project. Governments and other entities normally put out calls for contractors to submit proposals for projects that need to be done. They review these proposals and choose the best one for the job. A tender offer, on the other hand, is made by a public company or third party to purchase a shares from another company's shareholders. The bidder is the party conducting the tender offer.