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Andrew Morrison, co-founder of Aspire Bidding<\/strong><\/p><\/div>\n Heather O’Donnell, senior technical support manager at Scottish Procurement Alliance, said there are currently opportunities across construction, refurbishment and infrastructure, with projects ranging from \u00a35m to \u00a350m, so there is work for companies of different sizes.<\/p>\n “It’s about understanding their own capabilities, rather than getting too big for their boots too early,” she said. “Most businesses will have the standard certifications anyway, so it’s more about understanding the differences with these types of contracts, because with private clients, you might be doing 30 jobs in a month, but in the public sector, one job might last for 30 days or more.”<\/p>\n There’s a shift in terms of things like communication, engagement, scheduling, programming and KPIs. “There are things like social value objectives that are required within public sector, or fair work first requirements, proof of a net zero plan, up-skilling and retraining; so a lot of companies need to take time to transition on this kind of thing internally,” said O’Donnell.<\/p>\n But, once the mindset has shifted, she reckons the benefits become evident. “Public sector is better from a payment point of view, whereas private work isn’t as guaranteed, and getting on a framework gives opportunities there for more stable and consistent projects,” O’Donnell stated, albeit with the warning that a balance must be struck between trying to take on too many jobs and overstretching the workforce, versus putting everything on one big contract; which will inevitably end at some point.<\/p>\n Andrew McAllister, account manager at PfH Scotland<\/strong><\/p><\/div>\n Andrew McAllister, account manager at procurement services provider for the social housing sector PfH Scotland, also advised SMEs to avoid a ‘scattergun approach’ chasing lots of different tenders.<\/p>\n “Two or three well-targeted bids will usually get you further than 15 speculative ones,” he said. “Buyers are looking for suppliers who understand exactly where they add value, not businesses trying to be all things to all people.<\/p>\n “I\u2019d also say that winning the wrong contract can be nearly as damaging as not winning one at all, so before you bid, be honest with yourself about whether you have the people, resources and capability to deliver what you’re promising.<\/p>\n “If you overreach and then struggle to perform, the reputational damage can outweigh any short-term gain.”<\/p>\n In McAllister’s experience, the SMEs that tend to do well are often the ones that have done the groundwork long before a tender lands. “Smaller firms are often very tight on resource, and they can lose time at the last minute scrambling around for information – so having things organised and accessible makes the whole process far less daunting.”<\/p>\n Anne Macdonald, head of business development at Harper Macleod<\/strong><\/p><\/div>\n Anne Macdonald, partner and head of business development at law firm Harper Macleod – which is part of the UK Government’s legal framework – said that because such tender processes can require a significant investment of time across, the firm’s partners make sure the opportunity fits their expertise.<\/p>\n “There is undoubtedly an investment involved in public procurement, particularly for smaller businesses,” she agreed. “The tender process can be detailed, and businesses need to be realistic about whether they have the time and resources to meet the requirements properly.<\/p>\n \u201cBut I think it is important that the process remains proportionate to the contract being awarded – there has been a lot of focus on making public procurement more accessible to SMEs, and that matters, as smaller businesses can bring specialist expertise and different perspectives that the public sector should be able to benefit from.”<\/p>\n Macdonald noted things like cyber security and information management as being increasingly important, while environmental impact, social value and responsible business practices are also often part of the picture too.<\/p>\n “I think that direction of travel will continue – it makes bidding more demanding, particularly for smaller businesses, but the principle behind it is understandable – public money should be spent responsibly, and purchasers need confidence in the organisations they appoint.”<\/p>\n Recent examples of hacks and breaches to UK-based businesses mean that cyber security compliance has shot up the list of must-haves for many contracts. The government-backed Cyber Essentials scheme has become a widely-adopted standard, with more than 41,000 live certifications and 13,000 Cyber Essentials Plus certifications currently held by organisations across the country.<\/p>\n A recent update to the standard has introduced tighter controls, more rigorous validation and increased scrutiny around how businesses implement and evidence core security measures, including multi-factor authentication, patch management and access controls.<\/p>\n Paul Colwell, chief information security officer at certification body Wavenet, explained that historically, organisations often viewed Cyber Essentials as an IT certification, but increasingly he’s seeing it become a commercial requirement.<\/p>\n “Whether you’re bidding for public sector work, supplying larger enterprises or simply looking to reassure customers, demonstrating cyber resilience is becoming part of doing business – procurement teams are asking tougher questions, and organisations need to be prepared to answer them.”<\/p>\n David Tuck, chief executive of Waracle<\/strong><\/p><\/div>\n Tech firm Waracle recently won several lots on the British Business Bank’s engineering framework, worth around \u00a325m over four years. Chief executive David Tuck said that after having developed digital products in regulated environments for a long time, the public sector was a natural next step.<\/p>\n “We embarked on a range of initiatives to achieve the necessary certifications, whilst making sure that our talent attraction and delivery teams were ready to deliver collaboratively in service of public sector organisations,” he said. “Anyone that is considering it should make sure they understand what it takes to succeed – we knew that it wouldn\u2019t be an overnight success, that it would take time, that we needed to build our case studies, build our credibility, and build our understanding.<\/p>\n “That alone might mean that it\u2019s not right for all organisations,” he admitted. “If you\u2019re a much smaller business and you\u2019re looking at more immediate results because you\u2019re at the start-up or scale-up phase, then public sector might not be for you.<\/p>\n “Whereas if you\u2019ve got to a certain size, you\u2019ve got some good evidence of your credibility in similar types of sectors, and you\u2019re willing to put the effort in, then yes, I think it is absolutely worth it.”<\/p>\n Gillian Lang, head of Scotland at Ardent<\/strong><\/p><\/div>\n In March, land, consents and engagement firm Ardent was appointed to the Crown Commercial Service\u2019s estate management services framework.<\/p>\n Gillian Lang, head of Ardent\u2019s Scottish practice, said that while it’s still early days and there’s no guarantee of winning work, the company is already in the running for several opportunities.<\/p>\n “There’s a lot of management required to maximise the value, and get back what you’ve already put in, but for us it’s also a sign of being a credible partner,” she explained. “It’s seen as a kitemark for approval, so we’re now a trusted supplier, and it’s good to be able to mention that to other potential clients – it’s clear the background checks have already been done.”<\/p>\n In terms of preparation, Lang said that this included\u00a0getting relevant insurance, proving technical capabilities, providing case studies – things like ISO quality assurances – and showing social value – “which is often hard to benchmark against global organisations”.<\/p>\n She admitted that it has been a significant upfront investment, but that the company is confident that there will be more than enough coming through in terms of infrastructure and property services work.<\/p>\n “We’ve previously partnered to get onto some of these frameworks, which can be tricky, as you have to build relationships with firms that are sometimes competitors, but we’re now large enough to qualify directly,” Lang added.<\/p>\n Earlier this year, the UK Government set out plans to boost spending with SMEs to \u00a37.4bn a year by 2028, with departments now having to – for the first time – individually set direct spending targets and publish yearly progress updates. Small business minister Blair McDougall commented at the time: “These new targets will ensure thousands of smaller businesses have greater opportunity to win lucrative government contracts and grow their businesses.”<\/p>\n The Autumn Statement also included a promise from Westminster to “make it simpler to bid for contracts”, while also streamlining ONS business surveys to reduce the number of data requests businesses have to fill out.<\/p>\n Earlier this week, the Scottish Government outlined to make public procurement for lower-value contracts quicker and simpler.<\/p>\n Subject to approval in Holyrood, the Procurement Reform Act 2014 threshold for goods and services will be increased from \u00a350,000 to \u00a3100,000 and the works threshold will increase from \u00a32m to \u00a34m.<\/p>\n Public Service Reform Secretary Ivan McKee said: “These changes will create more opportunities for local businesses, SMEs and third sector organisations, whilst reducing bureaucracy and enabling public bodies to procure more quickly and proportionately.”<\/p>\n Stacey Dingwall, FSB Scotland\u2019s head of policy and public affairs<\/strong><\/p><\/div>\n Stacey Dingwall, head of policy and public affairs at the Federation of Small Businesses, said that after many years of campaigning on this issue, there finally appears to be some movement in the right direction.<\/p>\n “The changes which the Scottish Government has announced to the Quick Quotes system, increasing the thresholds, will give more small businesses access to procurement opportunities,” she stated. “We are also optimistic that the Community Wealth Building (Scotland) Act 2026 will deliver further improvements, particularly if public spending bodies commit to ambitious targets for increasing their spending with local small businesses.<\/p>\n “Our members tell us that many public sector buyers now expect bidders to demonstrate capability across a much broader range of issues than was previously the case – so alongside the core requirement to deliver a good product or service at a competitive price, firms are often being asked to provide evidence around cyber security arrangements, data protection processes, business continuity planning, environmental policies and community benefits.”<\/p>\n She continued that while some of these requirements seem disproportionate when applied to small firms, many are entirely legitimate when public money is involved. “The challenge is that the cumulative burden can weigh much more heavily on a 10-person firm than on a large corporate with dedicated compliance teams.<\/p>\n “The concern is not generally about individual requirements in isolation, rather, it is the growing accumulation of requirements, questionnaires, certifications and evidence gathering that can make procurement processes disproportionately difficult for smaller firms.”<\/p>\n FSB research has consistently found that complexity, administrative burden and the cost of bidding remain among the most significant barriers preventing smaller businesses from competing for public contracts. Its members report “strong appetite among small firms to win public sector work”, as it can provide a reliable income stream, particularly at a time when private sector demand is volatile.<\/p>\n “But many SMEs still feel that procurement systems and the way that tenders are designed can favour larger suppliers – businesses often report difficulty finding opportunities, understanding frameworks, navigating qualification processes or committing the time required to prepare bids with a remote chance of success,” said Dingwall.<\/p>\n “That is one reason why FSB has long argued for stronger efforts to break contracts into smaller lots where appropriate and statutory targets to increase local spend.”<\/p>\n She added: “For many businesses, particularly the smallest firms, there often comes a point where the effort involved in bidding simply outweighs the potential reward.<\/p>\n “If the contract value is relatively modest, or if the chances of success appear low, many firms conclude that their time is better spent serving existing customers or pursuing private sector opportunities.<\/p>\n “The result is that potentially innovative and competitive suppliers can be deterred from entering the market altogether.”<\/p>\n","protected":false},"excerpt":{"rendered":" Smaller companies must balance the stability and quicker payments with upfront costs and certification requirements<\/p>\n","protected":false},"author":278857,"featured_media":8729,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[137137,120821,128805,136545,120667],"coauthors":[137126],"class_list":["post-8466","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","category-construction","category-infrastructure","category-local-government","category-smes","tag-featured-story"],"yoast_head":"\n![\"Andrew](\"https:\/\/www.thebusinessdesk.com\/_files\/images\/nov_26\/Andrew-McAllister-1-scaled-e1793620256194-300x200.jpg\")
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