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council contracts, are they legal?


flatyre
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I think it's also to do with capacity and ease of admin. Many of the jobs could be done by a smaller copy, but then they'd have to get another larger company to do the larger jobs in a reasonable time. Also council might need 30 small jobs done in a day so they need a larger capacity company - so it could be a volume thing also.

 

 

Good point, but a certain local landscaping firm were given the job, who sub contracted it out as they don't have the staff or equipment to do the job themselves, how does that work?

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Councils have a whole list of criteria for becoming a term contractor and as someone said, they can afford to be picky. The tender process is supposed to discriminatory to a certain extent, or else everyone would get the contract...

 

They will look at length of time established, number of employees, financial tests (you generally need to turnover twice what you are bidding for ie £300k for a £150k contract), policies and procedures, CHAS and so on.

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Councils have a whole list of criteria for becoming a term contractor and as someone said, they can afford to be picky. The tender process is supposed to discriminatory to a certain extent, or else everyone would get the contract...

 

They will look at length of time established, number of employees, financial tests (you generally need to turnover twice what you are bidding for ie £300k for a £150k contract), policies and procedures, CHAS and so on.

 

but does that not just help to monopolise the market?

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but does that not just help to monopolise the market?

 

Not from a legal perspective, as per your question. There are still lots of firms that meet the criteria. Most medium tree firms would be able to able for most Local Authority Contracts. It would be acceptable 'due diligence' and accountability.

 

It can be frustrating as a small operator just starting out but that's business. All industries have barriers to entry. Keep growing till you fit the criteria. Concentrate on domestic and private commercial in the meantime.

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Not every job is a small prune!

If they get 3 large beeches down over a back road, they need to know the contractor is capable of getting things done quickly.

If you are a small company feeling hard done to, get yourself some finance, buy the kit, take the risk!

Jobs are there for the taking:)

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