Unlocking Value through Commercial Modelling

At 50 Degrees we offer our clients a complete range of services, spanning the whole business development cycle.

One of the more rapidly growing areas of our business is our Commercial & Financial Modelling Service, managed by our specialist Commercial Lead Zach Law.

The complexity and financial scale of the contracts we support our clients to tender for is, to say the least, not insignificant. Contracts are multi-year, multi-£million, governed by a rigorous set of tender specifications, and often come with complex TUPE requirements… with contract performance benchmarked against Key Performance Indicators.

The financial model is crucial to bid success. So, how can we help you?

We can support you to develop a financial model, aligning the solution to baseline costing, following an in-depth review of the tender specification. We’ll produce a ‘price to win’ model that clearly identifies assumptions, inputs, options, scenarios, risks, and opportunities. Here’s how:

  • Making financial models simple: we’ll communicate information in a way that ‘non-finance’ people can understand.

  • Customised financial models: we’ll develop bespoke financial models, tailored and stress-tested to meet the needs of tender requirements.

  • Scenario analysis: we’ll deploy advanced scenario analysis capabilities to evaluate various bid/no-bid situations and their potential impacts.

  • Multiple lot bidding: we’ll create multiple ‘lot views’ of tender specifications i.e. if there are twelve lot regions, these can all be modelled and viewed in one document.

  • Expert documentation review: we’ll review and represent documentation provided by commissioners within our models i.e. mapping TUPE requirements into solutions/pricing, indexation/inflation application, service credits, performance requirements and more.

Over the last 12-months, we’ve supported our clients on a number of projects, including:

  • Supporting an NHS organisation to tender for a regional Alternative Provider Medical Services contract, covering two lot submissions, and providing a critical review of the financial model prior to submission

  • Supporting a charity to successfully review and amend a contract to assure compliance with UK law, including annotation, re-drafting and negotiation

  • Supporting a client with their market entry strategy, developing a detailed pricing model to support a £26m tender submission, providing in-depth analysis of risk/mitigation e.g. how performance outcomes were linked to contract value, how TUPE was linked to a risk premium.

If you’d like to learn more, we’d love to tell you more. Please email Matt@50-degrees.com

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