Not on the Panel
Unpacking what works when building in ███ ██████, GovTech, and the █████████ market.
👋 Welcome
Welcome to issue #6 of Not on the Panel, your unofficial guide to building and scaling in government.
Not on the Panel tracks the weekly activity in Australia's $80 billion business-to-government market. We explain how the system really works, show businesses how to navigate it, who is winning, where the money is moving, and how startups and investors can break into the market.
In this week's edition, we look at:
Senator Tim Ayres replaces Ed Husic as the Minister for Industry, Innovation and Science.
We have expanded our B2G and GovTech News internationally. While Australian governments spend over $ 80 billion per annum, the United States has just reached US$693 billion.
And in our major feature:
💰We examine another Myth about selling to the Government. This week, we are exploring the myth that government sales cycles are too long.
🤝 If you find value in our unique perspective, help us grow by sharing this with your network. Every new subscriber brings us closer to delivering more in-depth coverage of the overlooked and undervalued B2G market.
📰 This Week in Gov
🏛️ Queensland's IPOLA Reforms Set to Enhance Transparency
The Queensland Government has confirmed the start date for its Information Privacy and Other Legislation Amendment (IPOLA) reforms, aiming to improve transparency and accountability within public sector agencies.
Source: Office of the Information Commissioner
🏥 NSW Government Trials Upgraded Digital Photo Card
The NSW Government announced that Digital Photo Card holders will gain access to an upgraded digital identity document, enhancing the state's digital identity infrastructure.
Source: Minister for Customer Service and Digital Government, Minister for Roads
Zulu Pods Secures $8M in Series B Funding
Zulu Pods, a U.S.-based startup specialising in defence and aerospace fluid systems, raised $8 million in a Series B funding round in April 2025. The company focuses on developing innovative lubrication systems for military and aerospace applications, aiming to enhance the efficiency and reliability of defence technologies.
PermitFlow Raises $31M to Streamline Government Permitting.
PermitFlow, a Silicon Valley-based startup, has secured $31 million in Series A funding. The company provides a platform that streamlines the permitting process for construction and development projects, enabling local governments to enhance efficiency and transparency in their permitting workflows.
💼 This Week in B2G
Week 19 (ending 9 May)
📄 $369.74m in total reported contract spend
🖥️ $10.55m in software + digital services
Breakdown by Service:
💾 Software: $4.42m
☁️ SaaS (Cloud): $0k
🛠️ Software maintenance & support: $5.74m
🧱 Platform SaaS: $334k
⚙️ Software/hardware engineering: $57k
Breakdown by Procurement Method
📢 Open Tender: $2.80m
🗃️ Prequalified Tender: $0.0m
📩 Limited Tender: $7.74m
GovTech Flex
Chainalysis: added a new $90k contract with the Australian Transaction Reports and Analysis Centre. Since 2017, Chainalysis has secured approximately $11 million in federal contracts for its blockchain, web3, and crypto intelligence tools.
Nura Space Technology: a subsidiary of Schevellio, picked up a new $176k contract with the Australian Digital Health Agency - awarded under CPR Exemption 10.3.e 🖥️🔒
🧱Build Better
MYTH 2: Government Cycles Are Too Long for Startups
“Government is too slow for startups.”
You’ve heard it. Maybe even said it.
But say it enough and it starts sounding like a fact. It is not.
Long Sales Cycles Are Everywhere
Startups already battle long enterprise sales cycles.
Selling into a major bank? Twelve months, minimum.
Hospitals? Twelve to eighteen months.
Large corporations? Nine months or more, once legal and compliance weigh in.
These are not exceptions; they are the norm in B2B.
Yet no one says, “Don’t sell to banks.” No one tells investors to steer clear of enterprise SaaS because the deals take time.
The moment the buyer is the government, though, the founders get spooked, investors get nervous, time slows, and expectations change.
The truth? The government is not slow. It’s structured differently.
What the Data Really Says
A Gartner study once estimated that public sector tech procurement takes an average of 22 months. That number has taken on a life of its own.
However, there is a nuance: that figure primarily reflects large, complex, and multi-stakeholder technology purchases, mainly in the United States and Europe. It is not the whole picture. And it certainly does not reflect how most Australian government procurement actually works.
In Australia, departments operate on fixed budget cycles. If a New Policy Proposal (NPP) is approved in May, the funds will begin to flow from July 1. That money must be spent within the financial year.
Use it or lose it is not a metaphor; it is a dynamic that creates urgency, not delay.
Speed Depends on How You Sell
Let’s break it down:
Selling into major infrastructure or defence? Expect years of process.
Selling mid-sized IT or services? Timelines typically range from twelve to eighteen months.
Selling via minor procurement (under $80K)? That can happen in weeks.
Selling via a panel? Even faster. Once you’re on, a department can award work in 30 to 60 days.
Additionally, if your initial license is less than $10,000, this can occur in a matter of hours and is not reported on AusTender.
Askable: A Case Study in Getting It Right
Let’s talk about Askable.
A Brisbane-based user research startup. No press release. No splashy contract win. Just steady, strategic progress inside the Commonwealth.
In 2019, Askable landed a $16,500 contract with the ATO. A year later, another contract for $11,000 was awarded. By 2021, five federal agreements totalling $132,500 — all under the $80,000 minor procurement threshold.
No tenders. No theatre. Just delivery.
In 2022, things shifted—a $137,000 contract from the Digital Health Agency — likely their first through the Digital Marketplace panel.
From that point, scale.
2022: Four contracts, $575,000
2023: Six more, $356,000
By April 2024: Eight contracts, $909,000
Total federal pipeline: Over $2 million
This was not luck. It was the strategy.
Askable made themselves known, built early trust, and became a low-friction option for buyers.
Long Isn’t the Problem — Unready Is
Founders often blame slow sales cycles. But Facebook took five years to monetise. Airbnb took twelve years to turn a profit. SpaceX spent six years just getting to orbit.
The best companies take time. Government is no exception.
Selling into the public sector rewards the patient, the credible, and the prepared. The problem is not the timeline. The problem is showing up too late — or not at all.
What Founders and Investors Need to Know
Success in government markets is not mysterious. It is methodical.
Start small.
Make yourself easy to engage.
Deliver reliably.
Get onto panels.
Build compound credibility.
As both an investor and an advisor, I closely track these movements. I follow procurement cycles, study department behaviours, and support startups navigating this system.
I don’t just sit back and watch wins happen. I help build the conditions that make them possible.
If you’re a founder trying to break in or an investor looking for a signal, subscribe.
Every week, I write about how startups succeed in structured, high-barrier markets, such as the government.
The next budget cycle is already taking shape.
The only question is — will you be ready?
📣 Are you a Startup Selling to the Government, or want to?
Each week, more than 1,500 federal contracts are published on AusTender. We track what we can, but we cannot review every supplier to identify which companies are startups.
If you’re:
Tendering for government work
Already delivering to a government customer
Recently awarded a contract
We want to hear from you.
You don't need a press release; simply leave a comment below or get in touch with us.
We are always looking for stories that help explain what is actually happening in the B2G and GovTech markets.
📄 Method and Scope
Each week, we track reported contract data from AusTender, the Commonwealth government’s procurement reporting system. Our focus is on contracts classified under software, SaaS, and digital services, as these categories are most relevant to technology founders building with or for government.
AusTender publishes thousands of contract notices each week across a wide range of categories. While we rely on this data as our primary source, we cannot guarantee the accuracy or timeliness of individual listings.
We do not attempt to cover every sector or supplier. However, if a startup is awarded a contract and we can verify it, we will include it, regardless of classification. These stories help surface where momentum exists and where future opportunity may lie.
✍️Meet the Editor
Hi, I'm Mat, a Startup advisor, former bureaucrat, investor, and lifelong procurement tragic.
Across my career, I’ve worked on four of the most significant non-defence contracts in the Commonwealth. I’m still frustrated that early-stage companies are largely excluded from the government market.
This Substack is part of how I’m building in public. I work with founders and investors who see the $80 billion business-to-government opportunity in Australia.
We also support founders in essential but often overlooked areas, such as governance, risk, and strategy.
If you’re a founder looking to break into government or seeking opportunities to back generational companies in this space, please don't hesitate to reach out. I’m always up for a coffee.