Supplier

In Canadian public procurement, a supplier is a person or legal entity that provides or could provide goods, services or construction. The wording appears in the definitions section of the Canadian Accessible Procurement Standard (CAN/ASC-41), and the same definition is used in the Government of Canada's Policy on Social Procurement.

The definition is broad on purpose. It covers a business that is thinking about selling to government, one that is preparing a bid, and one that is already delivering under a contract. A supplier does not need to hold a contract to qualify; the phrase "could provide" includes any organization able to meet a government requirement.

How the federal definition of supplier is worded

The definition has three parts. The supplier is a person or a legal entity, so it can be an individual, a corporation or another organization. It provides or could provide something, which includes current and potential sellers. And what it supplies falls into three categories: goods, services or construction.

Those same three categories organize much of federal purchasing. Public Services and Procurement Canada (PSPC) acts as the central purchasing agent and common service provider for more than 100 departments and agencies, so a supplier to the federal government often deals with PSPC as the buyer.

Supplier and vendor in the Code of Conduct for Procurement

Related terms are not always interchangeable with supplier. The federal Code of Conduct for Procurement uses the word vendor. Under the code's definition, a vendor is a person or legal entity that has submitted a bid, offer or arrangement, or that has been awarded a contract, standing offer or supply arrangement.

The distinction is practical. A supplier may be a business that has not yet bid on anything. A vendor, in the Code's sense, has taken a step into a specific procurement. The Code applies to vendors and their subcontractors that respond to bid solicitations or provide goods and services to Canada where PSPC is the procurement authority.

How suppliers find and register for federal opportunities

Federal tender and award notices are published on CanadaBuys. Through the federal guidance on supplying services, businesses can find opportunities, and PSPC's overview of how government buys explains that a business can register as a supplier, complete a business profile and access the electronic procurement solution to view and bid on opportunities.

Solicitation types and purchase values

How a supplier is approached depends on the value of the purchase. Federal procurement over $25,000 for goods and $40,000 for services and construction involves soliciting bids or quotations from potential suppliers, as set out in PSPC's introduction to the procurement process.

Common solicitation instruments include the Request for Proposal (RFP), the Request for Standing Offer (RFSO) and the Request for Supply Arrangement (RFSA). These are described in the PSPC seminar notes on federal procurement. For lower-value requirements, federal buyers may purchase directly from vendors rather than run a public tender, as explained on the low-dollar-value purchases page.

What supplier status means when bidding on Canadian public contracts

Being a supplier starts with being visible to buyers. Register, complete your business profile and monitor CanadaBuys so that you see the notices that match what you provide.

• Once you submit a bid, offer or arrangement, you are also a vendor under the Code of Conduct for Procurement, and your subcontractors are covered where PSPC leads the procurement.
• Expect different routes to market: a competitive RFP, a standing offer, a supply arrangement or a direct purchase.
• If you win, you must deliver the goods, services or construction according to the solicitation, contract terms, technical requirements and clauses.