This article examines the opportunities for fostering sustainable development through public sector sourcing from small and medium-sized enterprises (SMEs). Buying from small businesses can make such contributions in a variety of forms, ranging from a contribution to local economic development through providing innovative green products and services, particularly in the food sector, to helping the public sector organisation to better align its operations with its community. Sourcing from small businesses does also have implications for the governance of sourcing processes and would benefit from a partnership approach. Barriers to public sector sourcing from small businesses are discussed and suggestions made on how these can be overcome.