The Collective

Our Solutions

Bid Writing Tips

Federal Bid Writing Guide

Federal Bid Writing Guide Part 1: Preparing for Federal Bids

Federal bids are the best, and sometimes the only, way to get your foot in the door with government contracts. Delivering work for government agencies can help your business grow and expand your opportunities.

However, government contractors are paid with public money. Therefore, the bidding process has to be fair and transparent.

So, what does this mean for vendors?

If responding to government solicitations is part of your business development strategy, here are a few things to consider.    

Registering with SAM 

In order to submit federal bids, you must first register your business with the System for Award Management (SAM). You will not be eligible for federal contracts if you don’t register yourself as a vendor. 

SAM is a streamlining process, eliminating the need to enter the same information multiple times. Ultimately, the system increases efficiency when doing business with the federal, state, and local governments.

In order to create your SAM profile, you will need your company’s DUNS number. This can be found on the Dun and Bradstreet website. Additionally, to this, you will also need your North American Industry Classification System codes.

Your SAM profile will also provide the information to receive payments from the government for the contracts you win.

Once the registration is complete, you can start to strategize.

Strategizing your sourcing approach 

Submitting federal bids is the end game. First, you need to plan your approach to finding the government solicitations. Federal solicitations can be found on beta.SAM.gov, formally FBO.gov. You can register to the platform and receive notifications.

If your organization is also interested in state, county, or regional opportunities, this can be more time-consuming. In order to find opportunities, someone in your organization will need to be responsible for registering to numerous bidding portals. Each one will likely have its own registration process. There are thousands of RFPs, RFQs and IFBs published every day across the US. Therefore, this will likely be a full-time commitment for a member of your team.

Understanding PIID

With so many solicitations published each day, there needs to be a way for organizations to quickly find relevant opportunities. Enter the PIID!

Sometimes referred to as a solicitation number, PIID stands for Procurement Instrument Identifier. The format is governed by the Federal Acquisition Regulation (FAR) 4.1603.

The number consists of between 13 and 17 alphanumeric characters. These characters are combined into several groups;

  • 1-6 – identifies the department or organization that has issued the solicitation. These digits can be referred to as Activity Address Codes (AAC). Every federal agency has a unique code. As a supplier, these codes will tell you which buyer is looking for your goods/services.
  • 7-8 – specifies the last two digits of the fiscal year when the solicitation is awarded or when it was issued.
  • Character 9 – contains a capital letter that determines the type of solicitation. Common forms include:
  • B = Invitation for Bids (IFB)
  • N = Request for Information (RFI)
  • Q = Request for Quotation (RFQ)
  • R = Request for Proposals (RFP)
  • T = Standing Price Quote (SPQ)
  • 10-17 helps the agency keep track of all the solicitations issued so far. Depending on the volume of solicitations, the agency will determine the number of digits used.

Making your bid or no-bid decisions efficiently

Now it’s time to delve into making decisions. It’s important to carefully evaluate the suitability of a contract before proceeding with your federal bid opportunities. Many organizations try and make their services fit the contract when, really, it should be the other way around.

Here is a quick checklist to determine whether this is the right federal bid for your business.

  1. Is your organization eligible?

You won’t always be eligible for every contract you wish to bid for. Unless, of course, you’re already a multi-million-dollar corporation. The soliciting agency will often require certain criteria and stipulate thresholds. This could be turnover, experience, or required accreditations for example.

This doesn’t mean that you should give up though. In fact, 23% of all government contracts are awarded to small businesses. The Small Business Administration (SBA) works with federal agencies ensuring smaller vendors can have a swing at federal bid opportunities.

Each federal agency sets its own specific set-aside goals in accordance with the SBA annually. Within the broader term of small businesses, there are subsets included, for example:

  • Women-owned small businesses
  • Service-disabled veteran-owned businesses
  • Small disadvantages businesses
  • Businesses in HUBZones (Historically Underutilized Business Zone).

  1. Can you deliver the contract if you win?

It’s great to make yourself look good on paper, but when it comes down to it, can you deliver? Consider the requirements. Does the contract require you to deliver goods or services in different states? Do you have the infrastructure in place to do so? Do you have any industry-specific qualifications that are needed? These are all questions you should be able to answer in order to progress with your bid.

  1. Can you meet the deadline and follow the submission guidelines?

You might find the perfect federal bid opportunity for your business, but the deadline is in two days. Do you have the resources to meet it? If the answer is yes, can you meet the deadline whilst ensuing you follow the submission guidelines to the letter? Federal bids will be rejected if they don’t conform to the submission guidelines. Don’t waste time creating your proposal only to be rejected. These are easily avoidable errors that can cost you your bid.

Remember when writing your federal bid to:

  • Hit as close to the word or page count as possible

The word and page counts are there for a reason. If a solicitor thinks an answer deserves a 500-word answer, simply writing a sentence in response won’t suffice. You should explain everything clearly.

The same goes for using unnecessary words. Don’t use “At our company, we firmly believe…” when you could simply use “we believe” instead. Additionally, instead of “in order to” you can simply put “to”. If there is a limited word count, you don’t want to waste it on filler words.

  • Be clear and concise avoiding any overly technical jargon

Try and make your federal bid proposal as clear and concise as possible. You don’t want to use overly technical jargon as the commissioner may not be an expert in that area. This could be the reason why they are looking to outsource to another business. So, make sure you explain every abbreviation you use and keep it simple.

Don’t assume that the solicitor knows anything about your business or industry for that matter. If you leave room for them to make assumptions, the wrong assumptions can be made. This may result in you losing marks in your bid if they don’t understand a certain aspect.

  • Remember to show added value

Federal bid commissioners will always be looking for those bid responses that add value. They will be seeking to get the most value for money out of vendors. Do you have any innovative solutions to an issue they may have? Will hiring your organization help them achieve any targets, objectives, or aims they have? Do your research, and it will pay off. If you can demonstrate added value to your proposal, you’ll be one step ahead of your competitors.

Further support

Do you need help with completing and submitting federal bids? Our team of Bid Writers and RFP Consultants are here to assist. Simply upload the solicitation documents to receive a free quote or request a callback for more information.

Our services

RFP Writing

Our RFP Writing service is the perfect solution to ensure that you submit a high-quality bid, even when you’re busy. Our writers will break down the solicitation documents, allowing you to see what the bid and the contract involves. This will help to ensure that you have all the specified evidence and meet the requirements of the contracting authority. Our RFP Writers will then craft persuasive, high-quality responses, attach supporting evidence and even submit the bid on your behalf. Upload the solicitation documents for a free quote.

RFP Mentor

Have you already written a bid but need a second pair of eyes to review your work? Our RFP Mentor service will do just that. Simply send over your bid responses and the solicitation documents. Our writers will then assess your work, ensuring that your responses are in line with the specification. They will also check for any spelling or grammar errors. You can then submit your bid with confidence. Upload your work for a free quote.

Proposal Ready

Do you need help with preparing a bid proposal? Proposal Ready can help businesses that are new to tendering or those in need of rejuvenating their content. Our Bid Consultants will create:

  • 3 designed and company branded case studies
  • 5 company branded and professionally designed resumés for key personnel
  • 1 company branded bid proposal credentials document that can be used to respond to future RFPs.

Find more helpful tips and advice in our blogs. We cover topics including:

 

All information and data on this blog site are for informational purposes only.  Hudson Outsourcing LLC make no representations as to accuracy, completeness, suitability, or validity, of any information.  Hudson Outsourcing LLC will not be liable for any errors, omissions, or any losses, injuries, or damages arising from its display or use.  All information is provided AS IS with no warranties and confers no rights.

Hudson Outsourcing LLC will not be responsible for any material that is found at the end of the links that may be posted on this blog site. 

Because the information on this blog is based on Hudson Outsourcing LLC’s own opinion and experience, it should not be considered professional financial investment advice.  The ideas and bidding strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.  Hudson Outsourcing LLC’s thoughts and opinions will also change from time to time as the market changes and as Hudson Outsourcing LLC develops.

 

Return to Category Return to Thinking Together

Join the Collective

Let’s Build Your Next Chapter Together

The world of business is changing fast — but growth still starts with people.
Join a global collective built on creativity, strategy, and bold ambition. Whether you’re a healthcare innovator, security leader, creative agency, or tech pioneer — Together, we grow.

Get in Touch