I've actually just started doing this as well, so I can relate. Rather than focusing on offering the cheapest rate, make sure that your proposal is rock solid.

I've actually just started doing this as well, so I can relate. Rather than focusing on offering the cheapest rate, make sure that your proposal is rock solid. Be picky in the jobs you choose, but once you decide to put your bid in, invest time to understand what the client wants and make sure your proposal reflects that. It's not always easy, because sometimes there's only very limited information. Just treat every bid like a job interview. It's also perfectly OK and normal to charge a little lower at first, until you collect feedback and build yourself a good reputation. But make sure you set the right expectation. I always put my normal rate in the proposal, but reflect a discount where necessary to make sure that I remain competitive with the other bidders. And last, make sure you deliver what you promise :)