PhilGEPS Opportunities: A steady source of income for Philippine SMEs

Resources & Tools
August 30, 2022

Small and medium enterprises (SMEs) like yours can always benefit from clients who can offer a stable, reliable source of revenue.

One option for this type of client is the government. If you’ve ever wondered who provides catering services for your local city hall events, or where government offices get their internet connection, the likely answer is through government procurement

Government procurement is the government process of buying their goods and services from commercial businesses – including SMEs. The good news is that business owners don’t need government connections to become a government supplier in the Philippines. To get started, you just have to visit the PhilGEPS portal.

Table of Contents
I. What is PhilGEPS’ meaning?
II. What is PhilGEPS?
III. What are PhilGEPS opportunities?
IV. What PhilGEPS opportunities are available?
V. How can I be a PhilGEPS registered supplier?
VI. What are the benefits of getting PhilGEPS opportunities?
VII. How do I bid for PhilGEPS opportunities?
VIII. What other PhilGEPS features are available?
IX. What else do I need to know about PhilGEPS opportunities?
V. Summary

What is PhilGEPS’ meaning?

PhilGEPS is short for Philippine Government Electronic Procurement System.

What is PhilGEPS?

PhilGEPS is the government’s official procurement portal. It was created to automate the procurement process, avoid confusion, increase bidding efficiency, and ensure transparency in government contracts.

In the portal, various government agencies publish open government contracts for needs of different scales – such as food catering, consulting, computer equipment, and even construction of buildings and footbridges. 

What is PhilGEPS? It's the official PH portal for government procurement.
The PhilGEPS bidding portal

What are PhilGEPS opportunities?

PhilGEPS opportunities are the bidding notices posted by government agencies, government institutions and local government units nationwide. They are usually categorized by industry or product type and can pay anywhere from less than ₱100,000 to more than ₱1 million. Government suppliers who can access the bidding portal can also sort PhilGEPS opportunities by region, so you won’t have to worry about the logistics of serving an agency outside your area.

What PhilGEPS opportunities are available?

There are over two hundred PhilGEPS opportunities daily, ranging from simple supplies worth less than  ₱100,00 to complex multi-million projects. They usually fall into these categories:

Supply and delivery of materials

Construction of facilities and infrastructure

Building, improvement, and rehabilitation of facilities

Publication/printing

Shipping/hauling

Design

Advertising

Insurance

Consulting

Electrical and communications

Food catering

Safety and security equipment and services

Events management

Storage services

Cleaning services

Laboratory services

Waste management

Power generation

Pest control

Transportation services

Weapons

While you can view PhilGEPS opportunities without a membership, you must be a PhilGEPS registered supplier to be able to submit bids. 

PhilGEPS opportunities are often published as "bid notice abstracts" on the PhilGEPS portal
Sample of a PhilGEPS bid notice

How can I be a PhilGEPS registered supplier?

Any merchant with valid requirements can apply for a PhilGEPS Red Membership, which is free and has no expiry. However, itonly lets you view PhilGEPS opportunities. You cannot bid directly on the PhilGEPS portal.

To make a bid directly on the PhilGEPS Notices section, you must upgrade to the Platinum Membership, which costs ₱5,000 per year. Check out our comprehensive guide to PhilGEPS registration for the full list of requirements and registration process. 

To help you view PhilGEPS notices even without a membership, First Circle created Project Finder. Our free database lists PhilGEPS opportunities into a neat and searchable page, which you can view even without a PhilGEPS account.

Project Finder also lets you set daily and weekly email alerts. Simply set your preferred keywords, so you don’t miss new government bidding notices from PhilGEPS and LGUs that are relevant to your business. Learn how to use Project Finder here.

Project Finder can help you find PhilGEPS opportunities and set email alerts for new contracts

How do I bid for PhilGEPS opportunities?

The PhilGEPS bidding process can go differently depending on your type of membership (Red or Platinum). Still, all bidders undergo the same five steps:

  1. Buyer-supplier search
  2. Pre-bidding conference
  3. Purchase & Submission of Bidding Documents
  4. Opening & Evaluation of Bids
  5. Notice of Award & Project Execution

Read about the full PhilGEPS bidding process here: https://www.firstcircle.ph/blog/how-to-bid-in-philgeps.

What are the benefits of getting PhilGEPS opportunities?

A more attractive client portfolio

A government agency in your client portfolio is a great way to promote your brand, especially if you are new to your industry. When you market your business with completed government contracts, other prospects will see you as a credible and trustworthy company.

 More income

Closing deals with government agencies can lead to more lucrative opportunities. You can upsell or cross-sell with the same agency you’ve worked with, or be referred to other agencies and organizations who need your products and services.

A stronger, larger network

Aside from referrals, SMEs with government contracts get to meet government contacts, fellow suppliers, and future clients on the job.

What other PhilGEPS features are available?

Home page. This contains the latest PhilGEPS advisories and news, as well as links to the bid document uploader, PhilGEPS bid match mobile app, list of Platinum Member suppliers, and more.

Bulletin Board. This is where all open bidding opportunities, former opportunities, award notices, and annual procurement plans are listed.

Catalogue. This section lists common-use items, consumable items, software, and subscriptions for government purchasing.

Platinum Membership page. This section leads platinum members to the e-bidding system.

What else do I need to know about PhilGEPS opportunities?

A major part of the bidding process is the submission of financial documents to prove that you have the capacity to fund a PhilGEPS opportunity if you win the bidding. The documents required are either a Computation of Net Financial Contracting Capacity (NFCC), or a committed Line of Credit.

If funding is a challenge for your business, you may seek additional financing to get the proof of funding that will strengthen your bid. First Circle’s PhilGEPS Project Finance, our special financing product for government suppliers, can help by covering up to 70% of your PhilGEPS opportunity cost – or up to a total of ₱5 million for new clients. 

Another benefit of our financing is that repayment only starts after you complete your government project, which can be up to 6 months after your first fund withdrawal. This prevents cash flow issues so you can fulfill project obligations without skimping on quality and funds. You can repay through lump sum, bi-weekly installments, or monthly installments lasting up to 12 months.

With PhilGEPS Project Finance, you can start repayments once your PhilGEPS opportunity has been delivered.

Summary

In addition to regularly supplementing your business income and providing you a distinguished client, PhilGEPS opportunities open a lot of doors for SMEs. 

With First Circle, funding is no longer a hindrance to bidding for these opportunities. Through the right planning, research, and funding partner, you can instead focus on the growth opportunities that come with being a PhilGEPS registered supplier, and adjust quickly for any business roadblocks ahead.

Need business financing for a PhilGEPS opportunity? Apply for one with First Circle by clicking here.

Ready to get your own revolving credit line?

Apply 100% online, and get a credit line worth up to ₱5M. Use and re-use your credit limit anytime you need a business loan.

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