Opening doors and opening markets: opening public contracts to small businesses
Why does this matter?
Public procurement is one of the largest markets in any country, and one of the most powerful levers governments have to create jobs and grow local economies. Yet too often the same few suppliers win, while capable small businesses, and those led by women, young people and other underrepresented groups, are left out.
Doing business with the government is often harder than it should be. Tenders are published late, written in technical language, or hosted on portals that work badly on a mobile phone. Restrictive qualification requirements and a history of late payments can rule out a newer or smaller firm before it even starts. The result is a market that rewards incumbents rather than the best offer.
We help governments open up their markets so more businesses can compete, governments get better prices, better quality and more resilient supply chains.
To open up government contracts requires implementing open contracting approaches across the full procurement process. These include publishing open, accessible data that flags upcoming opportunities; building user-friendly platforms using a once-only principle; updating regulations to provide flexibility while maintaining accountability; and providing practical support and training for suppliers.
What we can help you with
We help governments turn competition and inclusion goals into everyday procurement practice, so that more businesses can find, bid for and deliver public contracts.
Market analysis and diagnostics
To use procurement data to see who is winning contracts, where competition is weak and which businesses are missing out, and to set clear, measurable goals for reform.
We develop key performance indicators, dashboards and open datasets that track participation, competition, payments and jobs, so governments can see whether their reforms are working and adjust course.
Simplifying access for small businesses
To publish procurement plans and forecasts, write tenders in plain language and share opportunities through the channels suppliers actually use, so businesses have time to prepare.
To cut registration and paperwork burdens, design lower-barrier procurement routes, and right-size lots, qualification rules and guarantees so newer and smaller firms can compete.
Inclusive procurement for women and underrepresented groups
To design and deliver reservation schemes, preferences and targeted outreach for businesses led by women, young people, people with disabilities and other underrepresented groups, and to track whether they work.
Supplier engagement and support
To work with business associations and civil society on bid training, help desks, mobile clinics and access to finance, and to build feedback loops so suppliers can flag the barriers they face.
Our stories on competition and SME inclusion
Working in more than 50 countries, we are seeing how open contracting is improving lives:
- In Boston, we supported the City through our Lift impact accelerator to connect open data to its supplier diversity goals, with performance indicators, dashboards and a public Buying Plan. Contract awards to certified minority- and women-owned businesses rose 165% from FY19 to FY25, passing $200 million a year for the first time, and these businesses employ more than 10,000 people. Read the story
- In Tanzania, we worked with the Public Procurement Regulatory Authority (PPRA) and civil society partner WAJIBU to help local governments reach businesses where they are, through mobile clinics, plain-language guidance and the Bid for Success training for women. Our study, supported by GIZ, is helping the government understand why its 30% reservation scheme for women, youth, people with disabilities and elders is falling short, and what to fix. Read the story
- In Lithuania, we supported the Public Procurement Office to introduce social criteria and track their use on a real-time public dashboard. The share of procurement value using social criteria rose from 4.3% in 2024 to 10.9% in 2025, opening new markets for social enterprises that employ people with disabilities. Read the story
- In Colombia, we partnered with Mastercard Strive to build CREDERE, an open-source tool that helps small businesses access the finance they need to compete for and deliver public contracts. It has been rolled out nationally, with the aim of reaching more than 50,000 small businesses. Read the brief
- In Uganda, where women-led businesses make up nearly 40% of firms but win 1% of contracts, we are working with government and civil society to strengthen the legal framework, improve data quality and build entrepreneurs’ capacity to compete. Read the story
- In Palmira, Colombia, we supported reforms that helped around 200 small-scale farmers, many of them women, become suppliers to the city’s school meal programs. Read the story
Resources and tools
Opening doors and opening markets: Empowering small businesses
The evidence on how open contracting affects small businesses, with recommendations to increase their participation
The OCP/UN Women Policy Brief
The barriers women-owned businesses face and policies that have worked in Chile, Colombia, the Dominican Republic, Kenya, South Africa and the UAE
Transforming Africa’s procurement: A case study from Tanzania
How Tanzania’s NeST e-procurement system was built
Beyond technology: twelve African countries on what e-procurement reform actually takes
A communiqué was drawn up after the regional workshop declaring a shared, ambitious vision.
Contact our expert
Kathrin Frauscher
Deputy Executive Director
