Entrepreneur Insight: Why Tender in December
Posted on the 6 December 2019
Hudson Succeed is the Bid Management division of the Hudson Group, a global provider of tendering and procurement support services, trusted by over 700 businesses both nationally and internationally. In the following article, they explain how December is the prime time to tender.
Tendering for government
contracts in December?
No? Why not?
Tendering for government contracts is one of the most effective ways for any UK business to grow in a short amount of time. 'How?' you may ask. Public Sector tenders guarantee a contract will be secured. If the contract is over a certain financial threshold, the buyer is obliged to find a supplier through putting the contract “out to tender”.
Also, whilst the Private Sector is not bound by any procurement regulations, Public Sector buyers are. This means that once you have been awarded as the contract winner, the contract is yours to deliver with guaranteed pay.
But why is December the prime time to tender?
Here are 5 reasons we recommend tendering for government contracts in December.
1. Get a head start
December is when most businesses are formulating their growth plan for the following year. You will, most likely, sit down with your team and strategise how exactly you are going to achieve the turnover required to meet your growth targets next year. This will most probably include methods to securing new business.
Whether you are a team of Building Surveyors, Landscapers, Cleaners or Care Givers, it is reasonable to assume that your business will need to secure new contracts in order to grow.
So why wait until January to put your new business plans into action? Get a head start and secure those new contracts before your Christmas break. You can look forward to returning to work, knowing that you are already on your way to achieving those important targets.
2. Buyers need new suppliers
Whilst you are busy strategising, Government bodies will also be preparing and publishing new contract opportunities to help their organisations thrive in the new year.
The UK Government has a target stating that £1 in every £3 should be spent with SMEs. This means that the Government is actively seeking to award these contracts to smaller businesses and they often need new suppliers early in the year.
In our experience, Public Sector organisations start looking for new suppliers towards the end of the year. This allows them to assess and award the contracts before the busy new year begins. So, make sure you don’t miss these opportunities for growth by winding things down too early.
3. Don’t fall into the trap!
So very often we see businesses working to a process that allows a contract to end before they secure the next. Don’t do this! Don’t add the unnecessary stress that comes with rushing to find and win new work.
We always recommend actively searching and bidding for new contracts, whilst you are at your busiest. Not only does this alleviate the pressure of desperately trying to secure new work as quickly as possible, a new contract win also brings the motivation required to help your team finish the current project.
4. See an early return
In the majority of cases, it is the goal of a business to see return as soon as possible. Starting the new year with guaranteed income will motivate your team and allow you to begin implementing the rest of your growth strategy early.
Our team at Hudson Succeed have helped numerous businesses do just that. Our wins this year have included results for clients such as:
- A turnover increase of 50%
- A £200-million contract that completely transformed a small business
- 100% success over three consecutive bids for the same client
Contact our team today to see how we can help your business benefit from an early return in 2020.
5. A winning streak
Confidence can be key. In our experience, once a client wins a new contract, the streak begins. The client feels confident in bidding for multiple contracts and our team already have the corporate literature required to secure a win.
We can’t stress enough the importance of starting early. Get ahead of your competitors. As they activate their out of office responses and record new answerphone messages, you could be winning the contracts they’re missing.
Sound like a lot of work?
We know that tendering can be time consuming and burying your head in specifications may not be the way you envisaged spending December. We understand! Many of our clients begin to wind down their businesses from the middle of the month due to increased employee holidays.
Don’t worry! We know you want to spend as much time relaxing with your family as possible. Our team at Hudson Succeed are here to help you do just that. Let us take the pressure off completing complex or long-winded tender proposals.