Bid Desk

How federal contracts work

What every firm should know before its first federal bid, including what changed in 2026.

What a tender is

The federal government buys more than $37 billion in goods, services and construction every year. When a department needs something, from moving services to software, it posts a tender: a public notice that describes the work and invites businesses to make an offer, called a bid. Federal tenders are posted on CanadaBuys, the government’s official tendering site.

Any business that can do the work can bid. You don’t need to have worked for the government before.

How it works

  1. Register

    Create a free SAP Business Network account through CanadaBuys and answer the government’s supplier questions. You’ll also need a CRA business number.

  2. Find

    Search CanadaBuys for the kind of work your firm already does.

  3. Read

    Each tender comes with documents: what the buyer needs, the mandatory requirements, how bids are scored, and the closing date and time.

  4. Ask

    If something is unclear, send your question to the contracting officer before the deadline for questions. Answers are shared with every bidder as an amendment.

  5. Submit

    Send your bid exactly the way the tender asks, before the closing time. Late bids are rejected.

  6. Evaluation

    The buyer checks every mandatory requirement first. Bids that pass are then compared on quality, price or both, as the tender describes.

  7. Award

    The winner gets the contract and the award is published. Every other bidder can ask for a debriefing to learn how their bid was scored.

The words you’ll see

Tender or solicitationThe buyer’s request for bids, with all its documents.
RFPRequest for proposal. You explain how you’d do the work, and your answer is scored, usually along with price.
RFQRequest for quotation. Mostly about price, often for simpler needs.
Standing offerYou agree to prices in advance, and departments order from you when they need to.
Supply arrangementYou qualify once to join a list of suppliers, then compete with the others on it for individual contracts.
Mandatory requirementA pass or fail condition. Miss one and your bid is out.
Rated requirementA scored question. A stronger answer earns more points.
Closing dateThe deadline for bids, down to the minute.
AmendmentA change or answer the buyer publishes after the tender goes out.
DebriefingAn explanation from the buyer of how your bid was scored.

Why it’s worth bidding

What changed in 2026

Public Services and Procurement Canada launched the Small Business Procurement Program on July 6, 2026. Treasury Board’s Contracting Policy Notice 2026-4 now directs departments to design procurements “with small businesses in mind.” In practice, that means:

Since December 16, 2025, the Buy Canadian Policy has also given Canadian suppliers priority on strategic federal contracts worth $5 million or more, with extra points for Canadian content. By June 25, 2026, it applied to more than $3 billion in solicitations. Because bids earn points for Canadian content, the firms that win these contracts have good reason to bring in Canadian subcontractors.

Why bids get rejected

Where Bid Desk comes in

Tender Watch finds the open tenders that fit what your firm already does. A one-page brief tells you whether one is worth bidding, and a compliance check makes sure your bid isn’t rejected for something avoidable.

Get your free brief

Sources: How to register your business, CanadaBuys. Contracting Policy Notice 2026-4, Treasury Board of Canada Secretariat. Small Business Procurement Program announcement, July 6, 2026, and Buy Canadian Policy, Public Services and Procurement Canada. Figures as published by the Government of Canada.