SUMMER 2021 PROCUREMENT With two major infrastructure projects under way in the Midlands, small businesses can get a helping hand to win public sector contracts The UK public sector spends more than 200bn a year on procuring goods and services from third parties, but far too little of this is with small firms. While the government has a target to increase procurement spend with small and medium-sized enterprises (SMEs) to 33 per cent by 2022, research by the Federation of Small Businesses (FSB) has found that only 25 per cent of SMEs have worked for the public sector over the past 12 months. To try to make it easier for small firms to bid successfully for contracts, the FSB has worked with local authorities across the West Midlands to make tender Pre-Qualification Questionnaires (PQQs) more SME-friendly, and to break down large, main contracts into smaller ones. Local authorities can also bring together small businesses to form cluster groups, through which firms can strengthen their chances of winning large contracts. In addition, the FSB has worked with local authorities to address public liability levels and staff academic qualifications. For example, rather than having a blanket specification for every contract of 10m of indemnity and all staff qualified to NVQ Level III or above, these could be a lot lower for smaller contracts. If your business is interested in bidding for local government contracts, you must first register with Supply2Gov, which has advice on getting started. Businesses across the Midlands (and beyond) currently have the opportunity to enter the supply chain of two large infrastructure projects: HS2 and the Commonwealth Games 2022. Rather than having a blanket specification of 10m of indemnity and all staff qualified to NVQ Level III, these could be a lot lower for smaller contracts Advice for businesses nD o your research and maintain active networks nK now your supply chain and where you fit in nR egister on the relevant portals nA ssess the PQQ requirements for the organisation you wish to work with, way ahead of the bid stage nB e Bid Ready. Prepare your team to respond to opportunities as soon as they appear, and attend Meet the Buyer events and Bid Ready workshops n F ormulate a strong About my company statement. Look at what you do well, your strengths, and how you operate and how these can be transposed into the supply chain. HS2: Tier 1 contractors must use CompeteFor to advertise all appropriate opportunities, and cascade this requirement down through their supply chains. HS2 Ltd also has various requirements for the day-to-day management and running of its business, including for recruitment consultants, courier services, training support and asset management. These direct corporate opportunities tend to be lower in value, but more numerous. A full list of awarded and future opportunities can be found here. Commonwealth Games 2022 (Birmingham): The FSB is working with the Commonwealth Games procurement team to ensure smaller firms can make the most of the opportunities the international event will present. It is also working with Birmingham City Council, Sandwell Council and Coventry City Council to ensure any ancillary contracts the councils have that relate to the Games are pushed out to small firms. Material contracts are publicised on the governments Contracts Finder website and on Tenders Direct. For larger-scale infrastructure projects such as these, you will need to supply information relating to: n Company registration(s), track record, key employees, staff, finances and references n Professional standing n Insurances n Health and safety management n Environmental management n Quality management n Competency around Building Information Management (BIM) n Approach to responsible procurement n Policies such as Equality, Diversity & Inclusion (EDI) and modern slavery n Education, employment and skills n Sustainability, innovation and collaboration n Approach to design (if relevant) n Any specialisations. Credit: Karen Woolley, development manager, Federation of Small Businesses Image: iStock / erhui1979 This is not an exhaustive list, so make sure you familiarise yourself with what is required before attempting to bid for contracts. For further information, please contact your local Trading Standards Service