In the framework of the Tenderio project coordinated by PEDAL Consulting, we prepared 9 strategies on how SMEs can participate and eventually win public tenders abroad. These strategies were formulated together with the IPPON, PPACT and SESAM projects.
Participating as partners in PCP (pre-commercial procurement) or PPI (Public Procurement of Innovative Solutions) or replying to PCP / PPI tenders.
Brief explanation of the tactic
If targeted solutions or products are not yet available on the market, a Pre-Commercial Procurement (PCP) project may be a useful opportunity to find a solution for a defined problem. In a PCP project, the international procurer consortium contracts a three-stage research project (feasibility study, prototype development and prototype test), in which companies can provide demand-driven tailored R&D services.
EU funding is up to 90% of the costs of purchasing for the demand-driven development of innovative solutions, and indirect costs are funded with a flat rate of 25%. International consortia of at least 3 independent legal entities from different EU member states or countries associated to Horizon 2020 are eligible to apply, at least 2 of them have to be independent public procurers.
In PPI, public procurers act as “first-time buyers” for innovative products and services that are already available as test products or that have been newly launched. The R&D phase of the products must already be completed at this point. The consortium of procurers defines the criteria for the selection process and publicly announces the innovation to be procured. EU funding amounts to up to 35% of the costs of procuring the innovative solution or products, while indirect costs are funded with a flat rate of 25%. International consortia of at least 3 independent legal entities from different EU member states or countries associated to Horizon 2020 are eligible to apply, at least 2 of them have to be independent public procurers.
Companies with particular technological know-how or particular expertise can check out for interesting PCP or PPI tenders. More information is available here.
Real life examples
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