The Essential Guide to Selection Questionnaires (SQs)
(How SMEs stop getting knocked out before the “real” bid starts.)
Most SMEs think the “bid” starts when the quality questions start.
It doesn’t.
In a lot of procurements, the bid starts with the Selection Questionnaire (SQ) / Procurement Specific Questionnaire (PSQ) / Selection stage, and it’s often pass/fail. Fail it, and you don’t get to show how brilliant you are. You just… stop existing.
Some tenders spell this out brutally: fail any pass/fail question and you’re disqualified.
So this is the SME-friendly guide to SQs: what they are, what buyers are checking, and how to keep your company information, accounts, and policies ready — so you don’t lose on admin.
1) What is an SQ (in plain English)?
The Standard Selection Questionnaire is a standard set of questions used at the supplier selection stage (in procurements under PCR 2015). The Cabinet Office maintains an updated standard SQ and statutory guidance via PPN 03/24.
In practice, the SQ is your self-declaration and evidence summary in three broad areas:
Part 1: your organisation and proposed bidding model
Part 2: exclusion grounds (self-declarations)
Part 3: financial standing and technical capacity
A lot of buyers still call the selection stage document a PSQ or “Selection Questions”, but the concept is the same: prove you’re eligible and reliable before they score your solution.
2) Why SQs matter (and why SMEs get caught)
Because SQs are often designed as a gate.
Here are real examples of how harsh that gate can be:
One evaluation approach lists a long set of eligibility questions (exclusion grounds, modern slavery, economic/financial standing, licensing, insurance, information governance, business continuity, policies, TUPE, net zero etc.), mostly pass/fail, and states bidders may be excluded if they don’t pass.
Another ITT warns that clarification can’t be used to fix missing or incomplete information, and any fail on pass/fail questions leads to exclusion from final evaluation.
Some instructions make it explicit: complete all questions, evaluated on pass/fail, fail any and your tender is rejected, and you’re responsible for making it complete and correct.
Translation: if your company basics aren’t in order, you can lose before your “real” answers are even read.
3) SQs under the Procurement Act 2023
Under the Procurement Act 2023, buyers can set conditions of participation and they must relate to the supplier’s legal and financial capacity and/or technical ability. and be proportionate.
The Act doesn’t prescribe a single SQ form in the same way PCR 2015 did, but the practical reality for suppliers is similar: you will still be asked to prove capacity, capability, and reliability.
Also, the exclusions regime under the Act is designed to ensure buyers can be confident suppliers are reliable; it sets out when suppliers may not be permitted to participate or be awarded a contract.
So: the terminology evolves, but the selection stage remains a place where bids can die.
4) The #1 SME rule: follow the SQ instructions like they’re the law
This sounds obvious. It isn’t.
Some tender instructions are painfully specific, for example:
You must register on the Central Digital Platform (Find a Tender) and provide your unique identifier in the response document.
You must complete all questions; responses are pass/fail unless otherwise stated; failing any question means disqualification.
Clarifications may be asked, but the buyer is not responsible for finding your errors — and they may not accept corrections that lead to rejection.
And sometimes the tender will tell you something that sounds reassuring… while quietly warning you not to get complacent:
“You are not required to submit copies of audited accounts, insurance certificates or company policies with your tender. If you are successful, you must provide these… before the authority enters into contract.”
Translation: you might not have to upload everything on day one, but you need it ready — and you still need to answer questions properly in the response document if asked (don’t attach a policy instead of answering).
5) What buyers are usually checking in the SQ (SME checklist view)
Different procurements vary, but the selection stage commonly tests five things:
A) Exclusion grounds and declarations (Part 2 stuff)
Buyers typically require self-declarations on exclusion grounds. Some tenders make it explicit that even if a question is labelled “optional”, it may still be mandatory and pass/fail.
B) Economic & financial standing (accounts / stability)
Often pass/fail. If they ask for turnover ratios, financial accounts, or statements, you need them current and consistent.
C) Insurance (and sometimes minimum levels)
Commonly pass/fail. In some procurements, this is explicitly listed as a pass/fail eligibility question.
D) Policies and governance basics
Some evaluations treat “policies” as a pass/fail category at selection stage.
E) Contract acceptance / “absolute fail” questions
Some selection stages include “contract acceptance” as an absolute pass/fail, meaning you can be excluded if you can’t accept key terms.
6) The “SQ Ready Pack” every SME should maintain (so you can move fast)
Even if a tender says you don’t need to upload every policy at tender stage, you still need to be able to produce them quickly if you win, and you absolutely need your core company info clean and consistent.
Here’s a practical “ready pack” structure:
Company core facts (keep consistent everywhere)
Registered name, trading name(s), registration number, VAT number, registered address
Key contacts (and a shared inbox for tenders)
Accounts + finance basics
Latest filed accounts (or equivalent)
Turnover and financial summary figures you can defend
Any parent company support statements (if relevant)
Insurance evidence
Public liability, employer’s liability, professional indemnity (as applicable)
Core policies commonly asked for
Business continuity
Data protection / information governance
Modern slavery
Any sector-specific policies (e.g., safeguarding if relevant)
(Exactly which ones you need depends on sector — but the point is “have them current and findable.”)
Tender admin “must-haves”
A submission checklist template (because missing one box can mean non-compliance).
A “who signs what” note for declarations and signatures
A portal logins register (so you’re not resetting passwords at 11:58)
7) Special case: consortia and subcontractors (SQs don’t only apply to you)
This catches SMEs out all the time.
Some procurement guidance and documentation requires that Parts 1 and 2 of the SQ are completed not just by the lead bidder, but by organisations in the bidding group/consortium and sometimes by subcontractors relied upon to meet criteria.
Here’s a concrete example from a community services ITT:
If you propose a material subcontractor, you must complete a specific annex with details.
Each material subcontractor may need to complete sections of the SQ (sections 1–3).
Copies of material subcontracts may later be lodged as part of the contract pack.
Translation: if your bid relies on a partner, you need their SQ house in order too — or you can fail because they are missing something.
8) The Central Digital Platform (Find a Tender) factor (don’t ignore it)
Under the Procurement Act regime, the central digital platform is the enhanced Find a Tender service and enables suppliers and buyers to register and receive a unique identifier; it also enables suppliers to submit and store certain core organisational information for use across bids.
Some tenders already require suppliers to register and provide their unique identifier as part of conditions of participation.
If you’re new to this, the official short guide on registering your organisation and first administrator is genuinely useful.
9) Common SME mistakes on SQs (and how to avoid them)
Mistake 1: Treating SQs as admin, not evaluation
Many are pass/fail and disqualifying.
Fix: Build an SQ-ready pack and run a compliance review before submission.
Mistake 2: Assuming clarifications will save you
Some ITTs explicitly say clarifications can’t fix missing/incomplete info.
Fix: Assume you get one chance. Make it complete.
Mistake 3: Answering with attachments instead of answering the question
Some instructions explicitly say you must answer in the response document and not just attach a policy (unless asked)
Fix: Write the answer, then attach evidence only if requested.
Mistake 4: Not aligning your partner/subcontractor info
Material subcontractors may need SQ sections completed.
Fix: Agree early who provides what, and gather partner documentation upfront.
Mistake 5: Missing a “mandatory” item labelled as optional
Yes, it happens.
Fix: Treat anything tied to pass/fail evaluation criteria as mandatory, regardless of labels.
SME SQ submission checklist
Before you start
We’ve read the SQ/PSQ instructions and evaluation rules.
We have the core company details consistent (name, address, reg no., etc.).
We know whether the buyer requires a Find a Tender unique identifier.
While completing the SQ
Every pass/fail question is answered fully (no gaps).
Declarations are signed and uploaded where required.
We’ve included partner/subcontractor SQ sections where required.
Before submission
We ran a compliance check: “would this be a pass?”
We used the tender’s own submission checklist (if provided).
We’re not relying on clarifications to fix missing
Further reading (official links)
Closing thought (because this is where SMEs win)
If you’re an SME, the SQ stage is one of the easiest places to beat bigger competitors — not through size, but through discipline. Keep your business info clean, your accounts and insurance current, your policies up to date, and your SQ responses complete and evidence-ready. Because nothing hurts quite like losing a bid you could have won… because you missed a pass/fail box.