The Secret Reason why most Government Tenders are rejected (And how to make sure that SMEs avoid it)

GBAF

New member
Nov 28, 2025
2
0
1
Thousands of small and medium businesses capable of doing business with the government every year make bids on government tenders and are rejected. Not that they are not experts. It is not because they have poor pricing. But since the tendering system is inflexible, paper-based and inhumane.


Government procurement is more of a mathematical filter than a negotiation. However, one Step wrong and the equation is a failure. The quickest way of winning tenders is to understand the reasons behind the tender being rejected.

We should deconstruct the actual causes of tender failure and, more to the point, how, in this way, SMEs can prevent the same errors.

Undeserving of the Good Life (The #1 Silent Killer)

This is the reason of rejection that is most widespread and least comprehended.

A tender title will be posted on the internet and will be viewed by many bidders who are under the impression that they are qualified to do that work. However, eligibility does not depend on a hunch, but on the provisions within the tender document.

Examples of typical eligibility mismatches are:

Failure to meet turnover requirement of the identified years.

Less value of work experience than needed (usually three works of 30 percent or one work of 40 percent of the value)

Incorrect categorisation of similar work.

Lack of OEM authorization or invalid.

MSME advantages are taken where they do not exist.

Insider fact:
Generosity in evaluation committees is an impossibility. When it is written that something must, then the flexibility is zero.

How to avoid it

Develop an eligibility checklist even when downloading annexures.

Correct matching of numbers and not almost.

The check corrigendums or pre-bid clarifications are in case a clause is ambiguous.

If you don’t qualify, don’t bid. A single disqualification is time and confidence wasteful.

Such platforms as BidSathi are useful because they provide filters that narrow down tender to realistic SMEs rather than merely key words.

Absent or improperly registered Annexures.

Most technically capable bidders fail in the annexures.

Common mistakes:

Alteration or rewriting of annexure.

Annexure handed in, but not signed/stamped.

Tender-specific formats were not used, but used old formats.

Annexures have been uploaded in incorrect section (technical or financial).

Insider tip:
And your data may be right, but not in the right format = rejection. Audit objections are avoided by the instruction of committees to disapprove non-conforming bids.

How to avoid it

Do not blindly copy annexures of previous tenders.

Only those formats as specified in the current tender document should be used.

Maintain a checklist of final: number of annexures vs uploaded files.

Label files in a comprehensible way (e.g. “Annexure-III_TechnicalCompliance.pdf”)

EMD mistakes (Big Impact, Small Amount)

Earnest Money Deposit issues are automatic rejection and do not need any negotiation.

Frequent EMD mistakes:

Wrong EMD amount

Wrong validity period

Form of bank guarantee not as prescribed.

EMD exemption purported without proper MSME/Udyam scope.

Failure to reflect online payment due to last minute submission.

Insider fact:
Even as technical bids are opened, EMD are regularly checked by committees.

How to avoid it

Correspond volume and validity of EMD.

Eligibility of cross-check exemption (MSME benefits are not usually included in many tenders)

Do not hand in EMD at the final hour.

Store confirmation payment screenshots and references.

Technical Bid [?] Marketing Brochure

Most SMEs apply the technical bid as a sales pitch. That’s a mistake.

In a lot of cases, government technical assessment is binary, i.e. compliant or non-compliant.

Common errors:

Additional information was included where Yes/No was needed.

Suggestions without documentary evidence.

Product catalogs that are turned in place of compliance statements.

Breaches are concealed rather than openly stated.

Insider insight:
Explaining too much is equally harmful as explaining too little. The evaluators do not desire narratives. They want proof.

How to avoid it

Answer only what is asked
https://medium.com/plans?source=upg...9b2f46---------------------------------------
Support each and every argument with a document.

In case of deviation, make it known.

Page matching of claims and proofs.

Mistakes in Financing Bids (BOQ Is Not Flexible)

There is a disturbingly high number of BOQ mistakes.

Typical issues:

Rates were typed in incorrect unit.

GST when it is not supposed to be and the opposite.

Incidental changes to formula-based BOQs.

Conditional pricing inserted in notes.

Insider fact:
One discrepancy of total and line items will automatically disqualify a bid.

How to avoid it

Never modify BOQ structure

Redo totals twice to upload.

Never leave position unless instructed otherwise.

Only financial bid in specified format may be uploaded.

Disregarding Corrigendums and Pre-Bid Clarifications.

It is one of the stereotypical yet expensive errors.

Many tenders change:

Eligibility criteria

Submission deadlines

Technical specifications

BOQ quantities

Lose a corrigendum and you have a bid that is already out of date.

How to avoid it

Monitor tenders up to date of submission.

Recheck documents 24 hours prior to final upload.

Change annexures on change of criteria.

It is here that managed sites such as BidSathi minimize the risk as only active tenders are surfaced.

Poor Document Hygiene

The government tendering instills discipline.

Common hygiene issues:

Illegible scans

Password-protected PDFs

Cross-oriented or lost pages.

Expired certificates are presented.

Insider tip:
In case evaluators have a problem with reading a piece of written work, they will not pursue clarification.

How to avoid it

Scan in high resolution

Make documents easy to read and in the right direction.

Validity of checks. Due date.

Adopt one naming convention.

Time Pressure of Last-Minute Submission.

Portals slow down. Uploads fail. Payments hang.

A lot of rejections occur due to mere failure of files to upload.

How to avoid it

Submit at least 24 hours early

Divide and Conquer, Not everything at once.

Check on adjournment status on portal.

Ultimate Advice: Tendering Is a Process, No longer a Chance.

Winning government tenders is not so much about price aggression, but rather discipline in the process.

Think of it like an exam:

The admit card is eligibility.

Technical bid is qualifying marks.

Financial bid is ranking

Majority of the SMEs do not even survive to the ranking phase.

Through learning about rejection habits and applying structured instruments, curated platforms and checklists, SMEs will be able to increase their chances of success enormously without risking their success.

Government procurement is not beyond the reach. It’s just precise.

And precision is learnable.