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Switzerland Procurement
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Prozorro, Ukraine
The gold standard of procurement transparency
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Horizon Europe and structural funds
Fragmented EU Procurement
Why TED alone won't cut it
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Plain-language definitions of every Subcontracting & Teaming term that shows up in government tender work.
A consortium agreement is the legally binding internal contract governing how two or more economic operators who have jointly bid for and won a public contract will allocate work, share revenues, and manage their mutual obligations to the contracting authority throughout the contract period.
Read definitionDirect payment to subcontractors is a mechanism by which a contracting authority pays a subcontractor directly for work performed under a public contract, bypassing the main contractor, to protect subcontractors from late payment and insolvency risk in European public procurement.
Read definitionA joint venture in public procurement is a separately incorporated legal entity formed by two or more companies to bid for and deliver a public contract together, providing unified legal personality, shared governance, and a single contractual counterparty for the contracting authority.
Read definitionThe lead partner or lead contractor is the member of a consortium or teaming arrangement who signs the public contract with the contracting authority, acts as the primary point of contact, bears primary liability for contract performance, and coordinates the delivery of all consortium members and subcontractors.
Read definitionMandatory subcontracting is a contract condition that requires the winning contractor to subcontract a specified portion of work to third parties, used primarily in defence procurement under Directive 2009/81/EC to promote SME participation and industrial policy objectives in European markets.
Read definitionA named subcontractor is a specific company identified by name in a tender submission or contract to perform a defined portion of work, creating a formal record that the contracting authority can verify and that restricts the main contractor from substituting that company without approval.
Read definitionSubcontracting in public procurement occurs when a main contractor delegates part of a contract's performance to a third party, subject to contracting authority oversight and transparency obligations under EU Directives and national implementing law across European markets.
Read definitionA subcontracting percentage limit is a contract condition that caps the proportion of a public contract's value or scope that the main contractor may delegate to subcontractors, ensuring the prime retains meaningful delivery responsibility and preventing the award from effectively passing to undisclosed parties.
Read definitionA subcontractor declaration is a formal document submitted by a tenderer or contractor that identifies intended subcontractors, confirms their eligibility, and satisfies the contracting authority's transparency and exclusion-ground verification obligations under European public procurement rules.
Read definitionSubcontractor substitution rules govern when and how a main contractor may replace a subcontractor during contract performance, requiring contracting authority notification or approval to prevent undisclosed changes to the supply chain that could undermine eligibility, quality, or transparency obligations.
Read definitionSupply chain management in public procurement refers to the practices by which a main contractor selects, contracts with, monitors, and pays its subcontractors and suppliers in order to deliver a public contract to the required standards, maintaining transparency and compliance throughout the supply chain.
Read definitionA teaming agreement is a pre-bid contractual arrangement between two or more companies that defines their roles, responsibilities, and commercial terms for jointly pursuing a public contract, typically before they form a formal consortium or decide on a prime-subcontractor structure.
Read definitionSee how Bidovate turns these government tender terms into pipeline. Explore the platform or book a 15-minute demo.
