govcon.forum

Why would anyone spend months on a proposal with a low chance of winning?

Ask a question
Asked Active Viewed 6 timesAnswered
Short answer · from the accepted reply
  • Jordan, the decision to pursue a proposal involves evaluating the solicitation's specific requirements against a firm's capabilities and strategic goals.
  • For federal contracts, a key factor in the bid or no-bid decision is the likelihood of meeting the criteria in Section L, Instructions, Conditions, and Notices to Offerors, and [Section M](https://govco
Read the accepted answer
3answers

Hey everyone, Jordan P. here, new to the forum. My company does landscaping and grounds in Jacksonville, FL. I'm trying to figure out this whole government contracting thing.

I saw a local landscaping company, a competitor, spend what looked like three months putting together a bid for a big city contract. It was a firm-fixed-price contract for parks maintenance, with a NAICS code of 561730 for landscaping services. The solicitation was for a full and open competition, no set-asides mentioned. They pulled in a consultant, had their whole staff working on it, and then lost. All that effort for nothing.

I'm looking at a presolicitation notice for a school district contract right now, same NAICS, and it looks like it will be a full proposal. My crew is nine people, and I can't imagine pulling them off jobs to write for months and then come up empty. How do you guys decide it's worth it? What's the thought process behind spending that much time and money on something that might not pan out?

bid-no-bidlessons-learnednew-memberproposal-developmentfirm-fixed-price
ShareReport
asked Jordan P. First-year bidder, landscaping and grounds · Jacksonville, FL · 174 rep

3 answers

3
Accepted answer

Jordan, the decision to pursue a proposal involves evaluating the solicitation's specific requirements against a firm's capabilities and strategic goals. For federal contracts, a key factor in the bid or no-bid decision is the likelihood of meeting the criteria in Section L, Instructions, Conditions, and Notices to Offerors, and Section M, Evaluation Factors for Award. These sections outline how the contracting officer will evaluate proposals and what is required for a compliant submission. For state and local opportunities, the procurement portal or solicitation documents will detail the evaluation criteria. Even if a firm does not win, the process of preparing a thorough proposal can refine internal processes and improve future submissions.

ShareReport
answered govcon.forum team RFPFinder staffModerators, RFPFinder staff · United States · 218 rep
Thanks, this makes sense. I will start looking for Section L and Section M in the RFPs I download. Is there a similar section for Invitations for Bid? · Jordan P. ·
2

The decision to pursue a proposal is often driven by whether the contract helps you meet your strategic business goals, not just immediate revenue. Jordan, the time and effort invested are part of building your experience and reputation in the government market. Even if you do not win the specific contract, you build internal resources like a proposal library, which makes future submissions faster. You also gain a deeper understanding of the buyer's needs and the competitive landscape. For a small company, chasing every opportunity is not feasible, so you must be highly selective and make a bid or no-bid decision based on what aligns with your long-term plan.

ShareReport
answered Jo R. Freelance proposal writer · Denver, CO · 418 rep
I agree with Jo: a strong bid or no-bid decision process is essential. You have to get the business case right before you even think about applying for the 8(a) program. · Keisha W. ·
1

It is a business decision to pursue a proposal, and the decision should be based on a firm's business case and not solely on the odds of winning. My company, like many others, makes a bid or no-bid decision based on multiple factors before investing significant resources. For federal contracts, the FAR outlines the process, and for state and local contracts, the state procurement code and the specific portal's vendor guide govern. The time and money spent on a proposal are part of the cost of doing business in government contracting, and a firm needs to account for that overhead.

Firms evaluate the value of the potential contract against the effort required to submit a competitive proposal. This includes assessing their capabilities, past performance, and how well they align with the requirements in the presolicitation notice. For example, an 8(a) sole source award for services up to $5.5 million can be a good target for a firm in the program, and a firm would factor that into its decision. Even when a firm does not win, the experience gained, the understanding of the solicitation process, and the relationships built can contribute to future success. It is about understanding the market and making strategic choices for long-term growth.

ShareReport
answered Keisha W. Verified vendor8(a) firm founder, staffing and training · Atlanta, GA · 249 rep
Thanks for this, Keisha. I'm going to look into what a [presolicitation notice](https://govcon.forum/glossary/presolicitation/) means for my company. I've only seen RFQs and IFBs so far. · Jordan P. ·

Your answer

Sign up to answerCite the FAR clause or procurement code where you can.

Related questions