The UK government spends billions of pounds every year buying goods, works and services from external suppliers in the process we know as procurement. Procurement in the public sector is a great way to grow your business and raise your profile in the supply chain. Supply2Gov supports businesses of all sizes to win public sector contracts, including government tenders in the UK.
Here’s five reasons why your organisation should strongly consider bidding for government tenders. When your organisation is ready to tender, read our top tips for winning government tenders.
1. Government constantly requires a vast array of business services and solutions
Whether you’re selling consulting services, food and drink supplies, garden landscaping or PR support, the UK government is sure to require and buy what your business offers. In fact, it is highly likely that government will buy what your business has to offer on more than one occasion. There are billions of pounds worth of contracts up for grabs every year, all to be spent with businesses like yours.
2. The UK government has set ambitious targets to help SMEs grow
Central government has set itself a target of spending £1 in every £3 on SMEs in its procurement activities by 2022. This initiative was introduced in 2015 to help boost the economy and represents a huge opportunity for small businesses looking to grow.
3. The public sector procurement process is simpler and quicker than ever
Government has been making a sustained effort to support SMEs to win more business. New legislation introduced in the last five years has included the requirement that all organisations in the supply chain must comply with government 30-day payment terms, including suppliers and sub-contractors. Most central government departments are meeting this target, with 80% of suppliers in most cases being paid within five days. Pre-selection questionnaires have also been abolished for low-value contracts, saving SMEs valuable time and resource when bidding. These examples show the procurement process is becoming more friendly to smaller businesses; it is important that SMEs are making the most of this opportunity.
4. There are ‘meet the buyer’ events across the UK to encourage early market engagement
Events like these provide SMEs with the opportunity to talk to government departments about their upcoming plans and projects. They are also an opportunity for government buyers to learn about your services and products, and how you can offer something different from other suppliers. Meeting directly with important decision makers is one of the most effective ways to win in the government tendering market, so make sure you note these events in your diary. Departments will advertise these events on their respective pages on www.gov.uk.
5. Government framework agreements can help you become a preferred contractor
You can compete to join a government ‘framework agreement’ specific to the goods and services you offer, such as IT solutions, health services or vehicle parts. If successful, your business will become a preferred government contractor. (Although there will be further competition for contracts, they will only be open to businesses on the framework.) Plus, it means your business will be viewed as trustworthy and reliable when you bid for government tenders in the future. You can find more information about government framework agreements at www.gov.uk/ccs.
Start winning government tenders
Is your business ready to start bidding for government tenders? Your next step is to sign up for Supply2Gov’s tender alerts in government contracts. From there, we’ll make sure you have all the tender documentation you need in order to start bidding.