The ABC of the public sector’s call for tenders — (Second part)
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Learn how this vast market could bring your company to new heights…
The market linked to public calls for tenders implies certain complex procedures. That being said, having access to it could allow your revenue to reach new heights. Here’s why it is important to take the time to understand its inner process before sweeping it aside!
The public sector’s calls for tenders: should they be considered?
In Canada, it is nearly 100 billion dollars that are spent each year by government agencies for the requests of various goods and services[1].
For our southern neighbors, we are talking nearly 350 billion of American dollars spent annually by the government for the same type of contracts[2].
Given the extent of this part of the market, you will soon realize that getting an agreement and signing a contract worth a few thousand dollars could have significant economic benefits for your business.
Furthermore, the payment terms for the public sector’s contracts show a considerable advantage of being fixed in advance and respected by the contracting parties.
So, if it happens to be something you would like to explore, know that your intention is fully legitimate. In fact, an active participation in this part of the market could send the growth of your company to a higher level on top of allowing it not only to grow its exposure, but also to position itself as a reference in its area of activity.
However, always keep in mind that everything is a matter of balance. Before throwing yourself into a hunt for opportunities, take the time to weigh all the costs and benefits to consider.
The public sector’s challenges
As you will understand, public tenders present certain advantages that deserve to be considered. However, the process that allows access to them is complex, which can justify having renounced to it in the past. That being said, know that all is not lost and that Aloha intends to simplify your life!
By looking at the web, it is easy to see that the number of sites and numerical apps showing a complete or partial list of interesting public tenders is quite impressive. Singling out the contracts for which you are qualified can sometimes be long and complicated. On top of that, success and profitability of the process are never guaranteed.
Even if multiple platforms offer alert emails informing about new contracts that you could consider, the deciphering work following this bombardment of alerts can quickly become discouraging. Admission criteria analysis, writing a presentation letter to justify your experience, detailed bid… The list gets long when it comes to tasks to foresee!
Weighing the pros and cons
To find out whether participation in the process of having access to public tenders is worth the effort, first check on your budget. Take the time to analyze properly the financial capacity of your company to take on the time, money and people investment tied to a bid by taking into account the possibility that the result might end up inconclusive. To do this, review the research and preparation costs to provide a professional, detailed, competitive and convincing offer, as well as the costs that you will initially have to assume in case you earn the contract.
Make sure to have access to human, material and financial resources necessary to deliver the merchandise while respecting deadlines and confirm your ability to continue to provide for the needs of your existing clients in parallel to the start of a big contract. Otherwise, you could quickly destroy your company’s credibility and compromise the trust that it has been given.
Obviously, making a money shot can be tempting, but remember that a business opportunity should not make you lose your loyal customers!
Furthermore, do not forget to question yourself about the client’s influence and about the possibility to consider an eventual partnership in the future. The government agencies contracts offer stability due to the constant need of goods and services. Before bidding, observe the positioning and annual spending of the client on the market and ask yourself if he is susceptible to play a key role for the growth of your company.
Finally, in order to avoid a waste of time and money by bidding, make sure to answer to all the requirements shown in the chosen call for tenders about professional experience, human resources and technical skills. As you might have found out, each of these details will be tightly scrutinized, since the public market is regulated and closely monitored, which limits its flexibility when compared to the private sector.
What should include my tender?
Starting off, explain how your tender meets the needs of the client and what differentiates you from the competition. You will need to conclude on these elements at the end of your submission, but they must be part of your entry if you want to stand out.
Summarize the nature of your work as an entrepreneur, your experience, your credentials and the mandates that you have accomplished in the past. Do not hesitate to provide concrete examples of your work.
Define in a concrete way how you intend being able to meet, even surpass the requirements of the client.
Establish concretely how you intend doing the needed work or delivering the needed goods and expose the delays that could realistically be attached to them.
Explain how you differentiate yourself from the competition, especially in terms of value for money.
Specify the details of your pricing and of any arrangement to plan in terms of guarantee and of after sale service.
Accompany your tender with a presentation letter which summarizes your proposition and explains how the other documents are organized.
A technological solution in your grasp
Although many companies have the experience, knowledge and expertise required to respond to public tenders, many are struggling to position themselves in this market, lacking the resources to compete in the race and to have a chance to reach the finish line. Ultimately, many choose to stick to the private market, giving up their place to the giants of their industry…
However, this reality may soon become synonymous with the past, since Aloha wants to help you!
As you are reading this, know that the fans of IT and entrepreneurship of the technological company Umaneo are working tirelessly for the conception of an innovative web platform whose accessibility and simplicity could help you to finally position yourself in this market.
Aloha’s principle is simple: using artificial intelligence (AI) to make an automated spotting of public tenders linked to your industry and inform you of those for which your company could be qualified.
In short, save time, human resources and energy by enjoying the automated detecting of interesting calls for tenders, while staying informed about real opportunities in your CRM and benefiting from assistance for the writing of your tenders according to the content integrated in your past bids.
A simple way to bid and optimize your chances of winning!
Our project interests you? Over here!
