Spiros Voyadzis: Up to US$2 billion per week available for companies working in the development sector

When it comes to winning the multi-million dollar bids and tenders of Multilateral Development Banks (MDBs), there are only a few companies in the world able to guide one through the process. One of the TOP-3 companies, from Washington DC, the Partnerships for Finance and Development Group (PFD), knows how to win a tender and harness the funding opportunities of a market with billions of dollars of commitments and it is willing to share the experience.

In May 2021, Spiros Voyadzis, founder and CEO, an expert with over 25 years’ experience working at the World Bank and who has held various distinguished positions in Washington DC, will conduct an exclusive webinar on almost everything there is to know about working with MDBs, such as the World Bank. What the webinar will be about and what goes on ‘behind the scenes’ in the industry is revealed in today’s interview, prepared by DevelopmentAid.

If this doesn’t whet the appetite, I don’t know what will

Talking about the complexity of MDBs’ activity, we are referring to commitments of between US$1.8 to 2 billion per week. Considering that between 1% to 3% of these are aimed at technical assistance and consulting businesses, we estimate that between US$20 and US$40 million per week is available for the sector. If this doesn’t whet the appetite, I don’t know what will. The funding opportunities of a huge market and the chances to win are arguments that should convince companies to become involved.

There is no excuse to pretend there is not sufficient information

The turnover of PFD’s clients ranges from US$4-5 million to US$2-4 billion per year and some have been with us for 18 years. We try to deliver the funding opportunities for which we have the greatest chance of winning to them. Our usual role involves ensuring an effective due diligence of the client’s activity, defining clearly who the client is and what the client can target and achieve in the MDB market, underlining its strengths and weaknesses. After gathering all the facts, we agree with the management to go ahead with very stringent criteria to choose a certain number of opportunities as, at any time, there are 40 – 45 thousand contracts available. Our company covers the activities of all the MDBs and because there is so much information, we really do undertake a very detailed selection of the opportunities that we decide to harness and support our clients so that they establish a strong screening ability as well.

The question is how you decide which opportunity to go for

We have developed a unique way of winning contracts funded by the MDBs for our clients. Our average yearly winning ratio is close to 40% of submitted tenders. Based on our statistics and analysis, we have developed our own formula and methodology – 7/3/1. This successful formula will be revealed during the “How to Win Contracts funded by the Multilateral Development Banks— stories from real businesses!” webinar, organized by DevelopmentAid, which will take place on the 19th of May, 2021.

To register for free, please follow the link:  https://register.gotowebinar.com/register/3885283079931392013

Even if one is opportunistic and we ourselves are, it takes a company between 18 to 24 months to win its first contract and, after this, the process continues by competing for more contracts as we work on several opportunities in parallel.

We know what these financial organizations are looking for

During the webinar, I will talk about the project’s cycle and the actions required for each phase. Compared to other companies, we focus our attention on the phases between 12 and 4 of the project cycle, looking at it as a clock. This is the time when the most important decisions are made, when the design of the projects, the discussions with national authorities, the procurement approach decided, how the contracts are going to be split when the contracts should be issued, the terms of reference, and the specifications are being discussed. Of course, I like the specifications to be as close as possible to those of my clients because then of course we have a greater chance of winning. We have a lot of experience and there are people on our team who have worked within MDBs like me or in the private sector. We know what these organizations are looking for.

It’s extremely important to have a storyline

We will be talking about the importance of the storyline during the “How to Win Contracts funded by the Multilateral Development Banks— stories from real businesses!” webinar. The storyline explains why we have become involved in this project. It will bring everything together regarding all the aspects going beyond the type of work or supplies. Imagine we are talking about road construction, which should be safe, well designed, with all the technical objectives taken into account. But, is this enough? No it is not: aspects of a non-technical nature should become part of the equation as well. I am talking about the discussions with people from the villages along the road and their agreement to support the project. The design of the project should be discussed with environmental groups, local and regional authorities. We have to be sure all the actors agree to the proposed approach. These are the aspects that organizations wish to also see in order for a project to have a real impact on economic development and growth.

Not all companies can get into this market

Not all companies have the capability to compete in the MDB market. A winning proposal is the one that responds 100% to all the requirements and selection criteria. There is no “half-way house” approach. Make sure your proposal responds to every requirement of the project. Assuming you and your partners have the competencies to win, you still need to have the necessary references, meaning past experience, and of course, you must also have decided to commit the necessary budget to cover the 18 to 24 months it takes to win the contract. If you want to be in this market then you jump into the pool and you swim and stay in the pool for 18 to 24 months even if the water is cold. So, you are going to ask me: Spiros, are you discouraging companies from getting involved? The answer is No. I am not discouraging companies from getting involved, I am opening the eyes of companies so that if they want to get involved, they are not disappointed. Two P’s constitute the basics: Patience and Perseverance!

Developing countries have become a market for all of us

The Multilateral Development Banks provide support to developing countries, so developing countries have become a market for us, for all of us, including companies from the developing countries. Taking into consideration the conjuncture caused by the COVID-19 pandemic, we should all be thankful to MDBs for committing even bigger amounts of money to developing countries. For example, the World Bank commits between US$45 to 50 billion a year, on average but last year the WB Group committed US$75 billion. This is the path also followed by other MDBs. So, these banks are always there, in good times, and particularly in bad times.

Increase your company’s chances of having a winning proposal by participating in the “How to Win Contracts funded by the Multilateral Development Banks— stories from real businesses!” webinar where Spiros Voyadzis, the founder and CEO of PFD, a professional with over 25 years’ experience as a World Bank expert, will give practical advice related to MDBs commitments, ways to win contracts, the cost of preparing and submitting proposals and other interesting information you may need. The webinar will take place on the 19th of May, 2021. … Gain access to the webinar by registering for free here.