Business Size and Tenders: What Your Band Wins (and Costs) You

Two bids, same price, same quality. The one that better answers the buyer's weighted criteria wins, because non-price criteria are part of the score. Here is how the system works, and where small businesses actually gain an edge.

How the scoring works in one minute

Most approaches to market state their own evaluation plan: a price weighting and quality weightings - capability, experience, methodology, referees. If a competitor prices the same as you, the quality scores decide the winner. Read the weightings before you spend a week on a bid.

Indigenous-owned businesses: the real advantage

If you are an Indigenous-owned business, the Indigenous Procurement Policy works in your favour. Commonwealth agencies must consider Indigenous participation in relevant procurements, and many set Indigenous supplier targets. Register with Supply Nation so buyers can verify you. There is no points system to game - but the policy genuinely opens doors for registered Indigenous businesses.

What carries weight for everyone else

For everyone else, Australia has no equivalent of a preference scorecard. What carries weight in quality evaluations is evidence: past contracts of similar size, qualified people, insurance in force, and referees who answer. Build the vault, and the evidence writes your quality response for you.

The cheapest moves that count

• A current ABN and GST registration - checked first, costs nothing
• Insurance certificates that have not lapsed
• Referees who answer, from past contracts of similar size
• One past project written up properly, with numbers

Those four cost almost nothing and count in every quality evaluation. Against one won contract, the return is significant.