Securing a contract as a small business can help you with company growth, cash flow, and new opportunities. It takes time to be the most successful vendor but it is possible. The bidding process is usually very competitive. Whether it’s about b2b or public sector tenders, it’s necessary to prepare well.
There is no sure way to win a bid, but you can at least try. Many big organizations and government agencies are coming forward to help Small Businesses.
All you need to find the most compatible bid according to your services and abilities. Many factors affect your chances of winning any contract like RFQ, company qualification, experience, and more. If you don’t have any prior experience and knowledge, you can do research and outsource the help.
Owners of the small business think that if they don’t have huge company turnover so they can’t participate in the bidding process. It is a mere misconception. You don’t need a large inventory to win a bid, all you need is capability and skills.
Numerous online portals provide information about the latest tenders, deadlines, and requirements. TendersPedia is one online website that provides verified information to its users.
Find Contract Opportunities as Small Business
It might take time to find small business contracts due to less experience. But there are numerous tenders available for small business owners. Here are a few ways you can find tenders for small business:
Online Contract Portals
Many companies have an online portal to find potential vendors for their projects. For example, restaurants, tech companies always look for new vendors. Make a checklist of your company's strengths and then search for the supplier portals accordingly. Register on the online procurement.
Small businesses that would like to compete for government contracts have to register their business on SAM (System for Award Management).
If you have already prioritized the projects you want to work with, approach the clients directly. Ask them about their procurement process. They might tell you about their web portal or published advertisement.
Your preparation for a particular project decides whether you will get it or not. Both public and private tenders release RFP for their projects. RFP guides all the bidders about the project and its requirements.
RFP can help you to beat the competition. RFP has the following details
- ● The work your company will be responsible for the project or the solution you’ll be providing to the client.
- ● Requirements of the project to find out the potential bidder for the contract.
- ● Delivery details, information about required documents, dates, and other additional information.
- ● Information about the private company or government agency evaluation method of the project.
Read the RFP thoroughly before initiating the work for RFQ. Look for the most important points of the project, consider them while writing a bid from your end. Address all the questions mentioned in RFP, an incomplete bid can knock out you from the race.
Firstly, check out whether your company is ready for procurement and has relevant qualifications and experience. Don’t quote too high for the project. Because no matter if the tender is of a private or public agency, both will prefer the lowest bid.
Always quote a reasonable price after doing research. Every client will go for value for money bidder.
However, before bidding check whether you are earning enough profit or not. Because at the end of the day you work for the profit. Underbidding might lead you to big business loss and can harm your reputation in the market.
Always go through the RFP, the client can raise RFP-related questions during the final discussion. The client will expect you to be prepared to win the contract.
Documents Required for the Bid
Your business might need to provide references and proof of your relevant experience. You need to submit documents like:
- ● Supplier Diversity Certificate
- ● Legal records of the company
- ● References (customers)
- ● The financial status of the company
- ● Skills and qualification
- ● Conflict of interest form
Some SMEs find it too much for one project. But each company has the responsibility to find a potential vendor. Your failure to provide the required documents will lead you to exit.
How to Stand Out While Bidding?
Your small business might have to face competition from experienced bidders, SMEs need to stand out while bidding for specific projects.
You just can’t market your company's capability through your mouth, you must have data to support your points. You can highlight relevant experience, provide certifications or any case study to show your ability to win the contract.
It is necessary to research your client. RFP will provide you enough information about the client but doing it personally will help you in making RFQ. For information you can check TendersPedia or other bidding websites, they have it all.
Try to arrange one meeting with the client before the end of the bidding process. A personal meeting can reveal bid insights that are not mentioned in the RFP.
How to Follow Up a Bid?
Always follow up with your bid. Sometimes, when an organization doesn’t find the potential bidder, they choose to begin the bidding process again. Keep checking whether the client has awarded the bit to the potential vendor or not. However, you will be notified within the period about the bid winner
Usually, government organizations scheduled the bid announcement day. But private companies can postpone due to various reasons.
You can reach out to private companies directly if you didn’t get any updates within the bid selection period.
It is quite challenging for small businesses to make their place in the market. The competition is already high and advanced. SMEs need to be unique and more advanced than their big competitors. One single opportunity can open the doors of multiple contracts.
Be wise while selecting and applying for any contract. Every bid boosts your company’s reputation and business.