Applying for Public Sector Tenders

Where to start?

Sometimes the most difficult thing is knowing where to start when it comes to applying for public sector tenders. Hunting for tender opportunities can be a slow and laborious task if you don’t know where to look. The big, high value tender opportunities are available on TED (Tender Electronic Daily), which is run by the Official Journal of the European Union (OJEU) and publication on this site is a legal requirement for contracting authorities, such as your local council. Smaller value contracts, however, are more difficult to find. These can be hidden away on the websites and procurement portals of your local authority and occasionally make it to the UK Government’s Contracts Finder Website. Occasionally being the operative word.

Tendering can also take a long time. Depending on the value, a tender or quotation process can last anywhere between a week to a year. These value thresholds come down to who is buying what.

Contracting authorities must abide by a set of rules and give suppliers, like you, enough time to put together a tender submission. For contracts over the above thresholds, a single stage tender process, whereby you are asked to quote and answer quality questions, will allow you a minimum of 30 days to write and submit your tender. Sometimes tenders can be run in two stages. These can only be used when the value is above the thresholds and allow contracting authorities a chance to shortlist candidates against a set of criteria. This can extend the time to a minimum of 55 days for both stages combined. Quite the commitment, but bear with me.

Both one and two stage tender processes, over the above thresholds come with an extra 10 days standstill period (called the Alcatel Standstill). This starts from the day the award decision is publicised to all bidders, and gives the losing bidders a chance to query, and possibly challenge, the decision.

Is it worth it?

After reading the time and resource commitment involved, is it worth it? The short answer is DEFINITELY. When applying for public sector tenders, the gains significantly outweigh the effort involved, and here’s why.

  • Central and local government pay consistently and on time. The regulations mean that contracting authorities must pay suppliers within 30 days of receipt of a valid invoice.
  • Your local contracting authority won’t go bust. Contracting authorities, although facing serious financial deficits, are very stable institutions. Contracts held with other buyers have the inherent risk of liquidation or cash flow issues that could impact upon their ability to pay your invoices. Cash flow in the public sector is not an issue.
  • The typical contract term falls between 2 - 4 years providing you with revenue security.
  • Your business will benefit from having a credible reference in future bids for work.
  • Often contracts will be extended beyond the initial term as cost of change can be prohibitive to contracting authorities.

You just need a foot in the door

Tender writing is an art. It is a skill but it is a learnable skill. Those companies who usually dominate public sector contracts often have dedicated tender writing teams and the time and money needed to learn from their mistakes. But you don’t need a tender writing team to win a public sector contract. You don’t need to make the same mistakes in order to learn.

Don’t be intimidated by the bureaucracy and process because in the end it all comes down to knowing your business and knowing what your buyer wants.

How Can We Help?

Videos

See our latest tutorial videos on tendering and procurement in the public sector

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Tender Opportunities

Click here to view the latest tender opportunities advertised on TED

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Links

Here are some essential links for you to check out, taking you to some great free online resources

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Tender Training

Check out our online course - The Tender Academy: An introduction to tendering in the UK public sector

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Tender Guide

We've created a detailed guide to help you understand how public sector tendering works with tips on finding tender opportunities and how to improve your bid writing

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Consultancy

Get in touch with us and find out how we can help you directly. We offer a great spectrum of services to suppliers looking to break into the public sector market.

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If you have any questions please don't hesitate to get in touch.