Tender glossary

39 terms · plain English

The words you meet in public tenders in Europe, the UK and the US, each explained in a few sentences. Rules differ by country, so the tender documents always decide.

A

Award criteria

How the buyer scores the bids that pass the selection stage, for example 60% price and 40% quality. They are set out in the tender documents before anyone bids, so you know what the buyer values before you write a word.

B

Bid bond Tender guarantee

A guarantee from a bank or insurer that some buyers ask for with the bid. The buyer can claim it if the winner withdraws or refuses to sign. Check for it early, because arranging one takes time.

Buyer Contracting authority

The public body that runs the tender: a ministry, city, hospital, police force, utility or army procurement agency. In EU law it is called the contracting authority, or contracting entity for utilities.

C

Clarification question

A written question to the buyer about the tender while it is open. Answers are usually shared with every bidder without saying who asked. There is a deadline for questions, often a week or more before the bid deadline.

Competitive dialogue

A procedure for complex purchases where the buyer cannot fully describe the solution up front. It talks with selected suppliers to develop options, then asks them for final bids.

Competitive procedure with negotiation

A procedure where selected suppliers send a first bid and the buyer can negotiate before asking for final bids. Common for adapted or innovative products.

Consortium Joint bid

Two or more companies that bid together, often to meet the turnover or experience the buyer asks for, or to cover all lots. One partner usually leads and signs for the group.

Contract award notice

The public notice published after a contract is signed. It names the winner, the value and, in the EU, how many bids were received. Orbigate reads these notices to show who wins and how many usually bid.

Contract notice Tender notice

The public announcement that a tender is open. It says what is being bought, the procedure, the deadline and where to get the documents.

CPV code Common Procurement Vocabulary

The EU's numbering system for what is being bought, with more than 9,000 codes such as 35000000 for security, fire-fighting, police and defence equipment. Searching by CPV code finds tenders in every language. What is a CPV code? →

D

Deadline Time limit for receipt of tenders

The date and time by which the bid must be uploaded. Late bids are rejected, so upload well before the hour, especially on busy e-procurement portals.

Defence and security directive Directive 2009/81/EC

The EU rules for buying military and sensitive security equipment. Buyers may limit who can bid, ask for security of supply and information security, and use the negotiated procedure more freely.

Dynamic purchasing system DPS

An electronic list of approved suppliers that stays open for its whole life, so new suppliers can join at any time. Buyers then run small competitions among the suppliers on it.

E

E-procurement portal

The website where the buyer publishes the documents and receives the bids, for example a national platform or a commercial one the buyer uses. You usually need a free account to download documents and to bid.

eForms

The standard format for EU tender notices, required on TED since October 2023. It makes notices machine-readable, which is why figures like the number of bids can now be counted across Europe.

ESPD European Single Procurement Document

A standard self-declaration that you meet the exclusion and selection rules. You fill it in with the bid, and only the winner usually has to send the certificates that prove it.

EU thresholds

The contract values above which a tender must follow the EU directives and be published on TED. Below them, national rules apply and the tender may appear only on a national portal. EU procurement thresholds 2026 →

F

Find a Tender

The UK government's central service for public tender notices, used since the UK left TED. Lower-value UK contracts are also listed on Contracts Finder.

Framework agreement

An agreement with one or more suppliers that sets terms for orders over a period, in the EU usually up to four years. Winning a place on it does not guarantee orders, and suppliers who are not on it cannot sell under it until it is retendered.

G

Grant Funding call

Public money to develop or test something new, such as a call from the European Defence Fund or Horizon Europe. Unlike a tender, the funder does not buy a product: you propose a project and usually share the cost. Funding calls in Orbigate →

I

ITT Invitation to tender

The documents that invite suppliers to bid: what is needed, the contract terms, the award criteria and how to respond. RFP is the more common name outside Europe.

L

Lot

A part of a tender that can be bid for and won separately, for example one region or one product type. Bidding for one lot is often the easiest way into a large tender.

M

MEAT Most economically advantageous tender

The EU rule that contracts go to the best value for money, not only the lowest price. The buyer can still decide to score on price alone, and the award criteria say which.

N

Negotiated procedure without prior publication

A procedure where the buyer talks to one or a few suppliers without a public notice. It is allowed only in limited cases, such as extreme urgency or when only one supplier can deliver.

O

Open procedure

The most common procedure: any supplier can download the documents and send a full bid by the deadline. There is no pre-selection stage.

P

Prior information notice PIN

An early notice that a buyer plans to tender, sometimes months ahead. It is a chance to prepare, find partners or answer a market consultation before the tender opens.

R

Restricted procedure

A two-stage procedure. Suppliers first ask to take part and show they qualify; the buyer then invites a shortlist to send full bids.

RFI Request for information

A request from the buyer to learn what the market can offer before it tenders. Answering one is free and can shape what the later tender asks for.

RFP Request for proposal

A request for full proposals, where the buyer compares solutions and price. In Europe the same thing is usually called a tender or an invitation to tender.

RFQ Request for quotation

A request for prices on a clearly defined product or service. It is usually short and decided mostly on price.

S

SAM.gov

The US government's site for federal contract opportunities and for registering as a supplier. To win a US federal contract a company needs a SAM.gov registration and a Unique Entity ID (UEI).

Selection criteria Qualification criteria

The minimum a supplier must show to be considered, such as turnover, insurance, certificates and similar past contracts. Bids that miss them are not scored at all.

Single bid

A tender that received only one bid. A high single-bid share in your category and country often means there is room for a new supplier.

SME Small and medium-sized enterprise

In the EU, a company with fewer than 250 staff and turnover up to €50 million or a balance sheet up to €43 million. Award notices say whether the winner was an SME, and SMEs win most contracts by number.

Standstill period

A pause between telling bidders who won and signing the contract, in the EU usually 10 days. Losing bidders can ask for the reasons and challenge the decision in this window.

Subcontracting

Doing part of the work for the main contractor instead of bidding yourself. It is a common way in for foreign suppliers and for defence work, where some notices are published only for subcontracts.

T

TED Tenders Electronic Daily

The EU's official journal of public tenders. Contracts above the EU thresholds from the EU, the EEA and some other countries must be published there, in their original language. How to find public tenders in Europe →

Tender Public tender

A public buyer's formal request for bids to supply goods, services or works, decided by rules published in advance. The word is also used for the bid a supplier sends back.

V

Variant

An alternative solution a supplier offers next to, or instead of, what the documents ask for. It is allowed only when the buyer says so in the notice.

Read the guides to public tenders →