Open local gov procurement to small businesses with AI-assisted bids

Small businesses miss predictable, local government purchasing because bidding is opaque and manual. A SaaS marketplace + AI tools discover relevant local bids, auto-fill responses, and manage compliance so SMBs can win recurring public contracts.

86Score

Target Audience

Small businesses and service providers (1–50 employees) that can competitively bid on local/state public procurement (janitorial, IT, landscaping, catering, construction subcontracts, printing, security, facilities services). Also procurement consultants and small prime contractors looking to subcontract work.

Market Size

$560B = ~90,000 state & local ...

Competition

medium

Key Pain Points

Fragmentation -- thousands of jurisdictions with different forms, thresholds, and rules complicate normalization and full automation.
Regulatory & liability -- mistakes in bids or noncompliance can lead to fines, debarment, or reputational risk for vendors and platform.
Data quality and cadence -- inconsistent publishing schedules, paywalled portals, and CAPTCHAs increase engineering and maintenance costs.

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OVERALL

8.6Great

Market Validation

Demand

~9K/mo*

Competition

medium

Growth

8-12% — growing digitization of procurement and supplier-diversity budgets*

Market Size

$560B

Market Opportunity

Open local gov procurement to small businesses with AI-assisted bids targets a $560B = ~90,000 state & local entities x $6,222 annual purch. per entity x 1,000 vendors (high-level $ per year) [aggregate U.S. state & local goods/services procurement estimate for accessible spend] total addressable market with medium saturation and a year-over-year growth rate of 8-12% — growing digitization of procurement and supplier-diversity budgets.

Key trends driving demand: Open procurement data -- more cities and districts publish bid listings and award data, enabling aggregation and analytics.; Supplier diversity & small-business set-asides -- mandates and incentives increase SMB-accessible spend.; AI + RPA in operations -- LLMs and automation reduce time-to-proposal and lower the skill barrier to respond.; Cloud procurement platforms consolidation -- standard portals and APIs make integrations and monitoring tractable..