In fact, for some time now, the majority of suppliers to the government have been micro and small businesses.
For this reason, having ideas of what to sell to the government is very important if you want to win a contract with the government.
To help you follow a successful path in selling to the government, the Public Procurement Portal today brings you ideas on what to sell to the government! Enjoy your reading!
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Ideas on what to sell to the Government: where to start?
Before I tell you some ideas of what to sell to the government, you need to know a few things about the world of bidding. Check it out:
Pay attention to the notices
The notice is the most important document in the entire bidding process. It describes the object of the bidding, that is, what exactly the government wants to purchase through that process in question.
In addition, the notice also describes the bidding method to be used and the rules for holding the event.
For example, there are several types of notices that limit bidding participation to micro and small companies, which is a way of increasing the competitiveness of public procurement.
It is very important that you pay close attention to the rules and information described in the notice, as this will help you to better prepare for the day when you win a bidding process.
Tax regularity
Another important aspect that you should keep in mind before you start selling to the government is that it only does business with companies that are in good standing.
In other words, this means that you must be up to date with all your tax obligations if you want to negotiate with the government .
Don't exceed your limits
Don't exceed your limits
In some bidding modalities, such as electronic bidding , which deals with commonly used products that are easily found on the market, the main criterion in selecting the winners is the lowest price offered.
If you are participating in an electronic auction, remember to never exceed your limit just to win the bidding process.
In these cases, there is no point in offering the lowest price if your company cannot bear the costs of such a low price.
The important thing is that you have peace of mind. You may not win the first or second bidding process you participate in, however, over time you will learn how to price better and your chances of winning will increase.
Study the market
Regardless of the type of product your company offers, it is very important that you always study the market.
This is the only way to really know how to price your product. Furthermore, by studying the market, you will be more likely to find suppliers who offer a more attractive price.
If you have a company that provides services, such as construction, for example, then studying the market is even more important.
This is because, by doing so, you will be able to improve your company's technical qualification and obtain more interesting contracts, as your company has a differential in relation to others in the market.
Forms of Contractual Guarantee
Finally, you need to keep in mind that many bidding processes require some form of guarantee from the supplier.
This guarantee can be made in three ways: through a cash deposit, through a bank guarantee or through surety insurance.
Among the three forms, the most interesting for micro and small business owners is the surety bond, because, in addition to being quicker and easier to obtain, it is also cheaper.
Here at the Public Procurement Portal, we have MAPSE , a marketplace that offers the best insurance guarantee solutions for entrepreneurs who have managed to sell to the government.
What does the Government buy with tenders?
What the Government buys with tenders
When it comes to bidding, it is important for you to know that the government mobile phone number database buys everything. And when we say everything, we mean literally everything.
The government buys everything from clothing and uniforms for police officers, to hospital supplies such as needles, gloves and aprons. It buys everything from mattresses and school supplies to furniture and computers for government offices.
And we are only talking about products that the government actually buys. It is important to note here that the government also hires people to perform services.
The government hires people to build public works, programmers to develop internal computer programs and other projects.
In other words, whatever your company and your line of business, there is a possibility that there is a tender that fits what you sell.
Check out 3 ideas of what to sell
Now that you know how the world of bidding works and what to look out for, check out some ideas of what to sell to the government:
1. Office supplies
One of the things the government buys most is office supplies, such as paper, pens, staplers, envelopes, etc.
This is a relatively easy option to find and start selling to the government.
However, for this same reason, bidding processes tend to be quite competitive, so don't start a business in this area without studying the market (a lot).
2. Building Material
Building Material
Another thing the government buys all the time is construction materials, such as bricks, cement, sand, gravel, tools, safety equipment, etc.
This is because the government is always carrying out construction work and will always continue to do so. However, just as with office supplies, it is important that you study the market thoroughly before you start participating in the processes.
3. Food
Finally, the third idea of what to sell to the government is food. This is because several government institutions, from schools to prisons, need food.
So whether you are a food producer or a distributor, it might be a good idea to try selling to the government.
However, it is also worth remembering here that, before starting to participate in bidding processes, you must study the market to be able to offer competitive prices that fit within your company's budget.
Ideas on what to sell: the main questions for those who want to sell to the Government
Now that you’ve seen some of the main ideas for what to sell to the government, let’s take a look at the main questions about the subject. Check it out:
Do you have to be a big company to sell to the Government?
Lie! Since 2008, when Complementary Law No. 128 amended the General Law of Micro and Small Enterprises (Complementary Law No. 123/2006) to establish the MEI figure, the logic of public procurement has changed a lot.
Until then, this myth that only large companies could sell to the government was partially true, however, since the law was sanctioned, the game has changed and the rule has become to buy from micro and small business owners.
Whoever has the lowest price wins the bid?
Lie! Although there are bidding methods, such as electronic bidding, in which the main decision factor is the lowest price, there are other methods in which this logic does not apply.
In fact, the most correct thing to say is that the best proposal wins the bid , and the criteria for defining which is the best proposal vary according to the object of the bid and the bidding method used.
Can MEI sell to the Government?
Yes, MEI can sell to the government ! As we have seen, since the law that instituted the MEI was sanctioned, in 2008, the logic of public purchases has turned 180 degrees.
After the law was passed, the rule was no longer for large companies to sell to the government, but for micro and small companies to sell to the government.
This is because, in addition to being a way of increasing popular participation, it is also a way of obtaining better offers, since the process is not restricted to a few competitors.
Furthermore, it is important to note that there are some bidding processes that are exclusive to micro and small businesses. Therefore, always pay attention to the notice!
If a big company offers the same service/product as my company, then I have no chance of winning?
Lie! If there is a large company that provides the same service as your company, this does not necessarily mean that it will win the bidding process.
In fact, just as there are bidding processes in which the defining factor is the lowest price, there are other processes in which other factors are considered when making a choice.
To make it easier, let's give an example.
Consider a local lettuce supplier. The quality of their supply may be much better than that of a large competitor who, despite having gigantic logistics, is located far from the delivery location and cannot deliver on time.
In this case, the delivery time factor will affect the quality of the final product. The large company, in this example, cannot deliver lettuce with the same quality as the local company, since the product may spoil during the delivery time.