Author: contact@sam.directory

Welcome Back!  We are happy that you are continuing to join us in our series on what to do if you do not agree with a decision made by the government about a contract award.  Time Tables for Filing a Protest to the Government Accounting Office or GAO  You must file a protest to the GAO within 10 wording days of learning of the agency’s initial adverse action. The GAO then can take up to 60 days to respond. The contractor can then file a notice of appeal and this can add another 90 days to the resolution of the protest. This appeal can take 60 to 120 days. You might wait four years to get a hearing on claims over $50,000, although the trial stage has been reached within two years in the Court of Federal Claims.  Decision To Protest  If you do decide to protest, it is in your best interest to call counsel as soon as possible. Contract law can be very complicated and it would be a very good idea to consult with your legal counsel.   If you do decide to protest, you have avenues that can guide you through the process.  You can go to your local PTAC to get started in the process and/or seek legal counsel. You also should familiarize yourself with Part 33.1 of the FAR. This will help you understand the requirements and your rights.  Disputes  A dispute is when a government contractor has issues or material disagreements that relate to the contract itself and therefore files a claim.  A claim is defined as a demand by one of the contracting parties seeking, as a matter of right, the payment of money; the adjustment or interpretation of contract terms, including the time of performance. This also includes other relief that arises under or relating to the contract.”  Disputes Are Only For The Contractor  Only a contractor is allowed to file a dispute claim. This means that subcontractors can not enter into the federal dispute process. This is because the contractor is an original party to the contract.  Typical Contractor Disputes  Some common contractor disputes are as follows:  Defective specifications  Changing delivery dates   Failure of the government to supply a contractor with what he/she needs to properly fulfill the requirements of the contract  Any other “event” that would keep a contractor from completing the contract or from being able to perform the contract.  The dispute is triggered when one of these events occurs and all informal attempts to resolve the issue fail.  Procedures for Disputes  For a dispute, a contractor is required to submit the claim in writing to the contracting officer.  The contractor should describe the following in the claim:  Situation   State   What action the claim is asking for  Request a final decision.  The contracting officer will have 60 days to respond after receiving the written notice. If the contractor has not heard from the contracting officer in this time period than the request is considered denied.  If the claim is denied, the contractor can file a written “Notice of Appeal” with the Contracts Appeals Board and send a copy to the contracting officer. The contractor must do this within 90 days of the denial.  Court Of Federal Claims  A government contractor also has the option of applying directly to the Court of Federal Claims as an alternative to the Notice of Appeal process. This court has authority under the Contracts Disputes Act to decide an appeal of a contracting officer’s final decision. This can take up to a year.  What Is The Amount Of Your Dispute  If Your Claim is under $100,000 than going through the dispute resolution process will be faster than if your claim is over this amount. This is because the Board of Contract Appeals is required to make a decision within 60 to 120 days.  The smaller claims will usually take priority and the board will postpone an appeal concerning a larger dollar amount contract. The Court of Federal Claims could take more than a year just to reach the trial stage. If the dollar amount of the contract is large the dispute could conceivably go to the U.S. Supreme Court.  So it sometimes is smart to think about a strategy for your disputes based on the dollar amount that you are seeking in your claims. This is why seeking legal counsel is a good idea.  Please get legal assistance, particularly if you decide to pursue the claim beyond the dispute process. For more information, check out the GAO’s Bid Protest site.  The Government Would Like to Keep Contract Conflicts Out of Court  All contractors have the right to dispute and appeal. However, the government prefers to try to resolve all contractual issues in controversy by mutual agreement at the contracting officer’s level. The government expects you to use reasonable efforts to resolving controversies, prior to the submission of a dispute.  Remember To Be Reasonable  When an unfair decision is put forth than it definitely should be protested with voracity. However, you should be reasonable in your claims. The federal government is a very lucrative customer and you do not want to harm this relationship for unnecessary reasons.  Remember Nothing Happens Until You Register With SAM.  One of the first things that one needs to do is to be registered with  SAM.  SAM stands for System Award Management.  To do any business with the federal government, you must register your business in the System for Award Management directory. The government will not hire any type of business (large or small) that has not registered in the SAM directory.  Please read one of the helpful blog articles on our site like Everything You Need to Know About SAM for Small Businesses.  These blogs will help give you all the information you need to understand how we can help make the process very easy for you. Sam Directory will happily guide you through this often confusing process. With our help, you will be able to be on the path to government subcontracting quickly and efficiently. 

The United States Government Is A Very Powerful Client With Deep Pockets  The Federal government usually spends around 500 billion dollars a year on goods and services. This makes the U.S. government an extremely attractive client. There are few other organizations with this type of spending power and clout. That will still hold true in the coming year despite the rocky start to this decade.  The government also tends to buy goods and services in bulk. If your business has the infrastructure to handle large orders, then the government can help you grow substantially at an accelerated pace.  Government agencies also buy goods and services in large quantities. Large orders can be a double-edged sword for small businesses. However, if managed correctly, they can help you grow substantially and rapidly. You also should be aware that working for such a large and powerful client is not without challenges.    Understanding The Marketplace  It might at first feel like working for the government is very unpredictable. Contractors can be affected by a variety of factors such as budget cuts, regulatory pressures, change of administration, and stringent accounting rules.  However, all marketplaces can be volatile and change rapidly according to the whims of consumers. A company needs to make sure that they have a deep understanding of the end buyer and why they want to use their products and services.  This is also true for the United States Government. You will need to develop relationships and cultivate a trust that allows you to showcase your competitive advantage. Strategically managing the right relationships might guarantee you the federal government as a solid client that can assure your business of a bright future.  Government Funding  As we have stated before, the United States government is one of the wealthiest and most powerful clients in the world. However, no one has unlimited resources. Administrations change and that can often mean a shift in funding priorities. For example, if the government is into energy conservation, that might mean a lot of contracts for those who develop energy alternatives. If a new administration comes into power that values different things, then the funding for alternative energy initiatives might be decreased.  One of the best ways to combat this is by supporting politicians that understand and promote your type of business. It is important to keep an eye on the political atmosphere and make sure that your voice is heard.  Department Of Defense  The Department of Defense is one of the largest consumers of government contracts in the world? Many companies think that this agency is only contracting with giant companies that supply tanks and missiles.  Remember, the Department of Defense supplies the Army, Navy, Airforce, and many other defense agencies. They are very open to working with small businesses and are fully funded for the rest of this year. In fact, they try to reward at least 20% of their contract to Small businesses. Companies can go to https://business.defense.gov/Small-Business/DoD-Small-Business-Offices/ to find out more information about contracting and subcontracting opportunities.   Innovation and Technology  We must remember that some great innovations in technology actually came out of this branch of the government. This includes the internet, which is a vital part of our lives and has changed the way we look at the world.  The Internet was initially a DARPA, the Defense Advanced Research Projects Agency project, as well as GPS, the cell phone, the computer mouse, and drones.   Being a defense contractor meant that you are on the cutting edge of tomorrow’s technology. This is not only a noble pursuit, but it allows you to gain a distinct advantage over other civilian tech companies.  Example  The United States Army has big plans for developing its air and missile defense system to be one of the best in the world. Lieutenant General James H. Dickinson, commanding general of the U.S. Army Space and Missile Defense Command/Army Forces Strategic Command, said, “Our vision is that the AMD force of 2028 will provide the combatant commanders with a flexible, agile, and integrated AMD force capable of executing multi-domain operations.”  The army is particularly interested in modernizing its radar technologies. This is a fantastic opportunity for innovative small businesses to step up to the plate and help the army build some new prototypes. The army is very open to working closely with new businesses in order to develop key technologies that will streamline operations in the future.  How Do You Get Started Working With The Government?  SAM stands for System Award Management.  In order to do any business with the federal government, you must register your business in the System for Award Management. The government will not hire any type of business that has not registered in the SAM directory.  We have an article on our site, Everything You Need to Know About SAM for Small Businesses, that gives you important information about this process.  As a smart entrepreneur, you have already used our site to register in the SAM directory. Congratulations on taking this important first step to become a government contractor.  Make Sure You Get A CAGE Code (Commercial and Government Entity)  This code is five characters and unique to your business. It’s basically your ID code, and government agencies will identify your business using this code. It is a bit like a social security number for your business. If your business includes more than one facility, then you will need multiple CAGE codes. Each location must have its own unique code, and each location must be registered separately with SAM.  Registering With The SAM Directory Also Has Other Important Advantages  You must register with the SAM directory in order to apply for government grants.  A grant is a way the government funds your ideas and projects to provide public services and stimulate the economy. Grants support critical recovery initiatives, innovative research, and many other programs listed in the Catalog of Federal Domestic Assistance (CFDA).  A grant is different from a loan in that it is money that your business does not have to pay back. So, registering for the SAM directory actually gives you access to free… Continue reading Government Contracting Strategies For Small Businesses 2021- Part 2

Understanding The Federal Contracting System  General Services Administration, also known as GSA, is responsible for acquiring the goods and services needed by federal agencies. The United States government basically needs everything and is a super consumer worth $500 billion dollars.  The government uses schedules to purchase goods and services. When there is a need in an agency it is called a schedule award. These are great opportunities for small businesses. A company needs to bid for the award. Once the award is won, the winning bid signifies a signed contract between the business and the government.  This means that learning how to bid for these government contracts is extremely important in order to be successful with this lucrative customer.  What Is A Government Contractor?  The United States Government is made up of several agencies that are in need of a variety of services. These agencies then offer contacts to private companies across several industries to fulfill these needs. Private contractors are vital in helping the government provide services for the welfare and protection of the citizens of the United States. Private government contractors provide goods and services for the following:   Medical Services  Utilities  Construction  Supplies for various projects  Engineering  Defense  Intellectual Technology  Energy  These are just a few of the categories that are often contracted out to private independent companies through the awarding of government contracts.  What Does This Mean For Small Businesses That Want To Be Government Contractors?  The Federal government is also required to set aside a certain amount of contracts for small businesses. At least 23 percent of government contracts will be awarded to small businesses this year. This means that smaller companies do not have to worry about being outcompeted by large companies with unlimited resources.  How Do I Know Government Contracting Is Right for My Company?  There is very little certainty in business. Having a powerful client that is known for paying its bills on time, like our Federal Government, is a great asset.  Also, many of your competitors might be dismissing the idea of being a government contractor as being too much trouble. This means that there could be surprisingly little competition in some spaces. Their shortsightedness can be your company’s advantage to get ahead and obtain some very lucrative contracts.  The First Step Is Registering With SAM  To do any business with the federal government, you must register your business in the System for Award Management directory. The government will not hire any type of business (large or small) that has not registered in the SAM directory.  Please read one of the helpful blog articles on our site like Everything You Need to Know About SAM for Small Businesses.  These blogs will help give you all the information you need to understand how we can help make the process very easy for you. Sam Directory will happily guide you through this often confusing process.  What do I need to register for the Sam Directory?  You will need the following :  A Data Universal Numbering System or DUNS from Dun and Bradstreet  Your Tax Identification Number or TIN  A Social Security Number if you are a Sole Proprietor.  What is a DUNS Number?  The Data Universal Numbering System—or D-U-N-S number—was created and copyrighted in 1962 by Dun & Bradstreet. It is a unique nine-digit identifier that has become the standard numbering system to identify businesses across the globe. You can compare the DUNS number as a social security number for your business.  Any contracting opportunity in the System for Award Management (SAM) will require a DUNS number to apply.  What is a NAICS number?  NAICS is a six-digit code that stands for the North American Industry Classification System. Many federal agencies post contracting opportunities using the NAICS codes. The NAICS is used as an internal reference that quickly describes what a business does. You want to make sure you have the correct NAICS number to qualify for as many contracting opportunities as possible.  How Do I Get On A Schedule  Collect all the documents you need and submit them to the GSA. A procurement officer will review your paperwork and either approve or decline your submission. This process requires some attention to detail.  Innovation Is Key  The government needs to be very careful about how they handle money that is provided by taxpayers. They are tasked with making sure that things go smoothly and no unnecessary risks are taken. This is a great opportunity for a small business that prides itself on finding innovative solutions to age-old problems.  The United States government is open to fresh perspectives and ideas that can streamline their systems or save them money. Do not be afraid to think outside the box when you bid for government contracts. Your new ways of doing things could be just the thing to make you stand apart from the other companies vying for the same opportunity. They are particularly keen to listen to ideas that have been proven in the private sector.  Flex Your Expertise  This is not the time to be shy about your business’s accomplishments. Being a small business does not automatically mean that you are the underdog in the competition.  Bigger is certainly not always better.  Small businesses can often prove to be more agile, efficient, and have better response times when compared to their larger counterparts. A larger organization might not have the flexibility to pivot the way it can, which allows small businesses to be able to think on their feet during crises. Smaller companies can also provide more personalized customer services which is something all consumers appreciate.  Narrow In On The Customer’s Needs  At the end of the day, the United States government is a customer just like any other. However, this customer has deep pockets and unlimited needs. A small business can cater to the government by following a strategy in which the customer’s needs always come first. Identify what the government agency’s pain points are and then offer them your innovative solutions to their problems. This type of discipline always wins big… Continue reading Rules For Obtaining Government Contracting For Small Businesses

Government Contracts Offer Security   The recent pandemic has just shed light on how things can change in the small business marketplace in the blink of an eye. Businesses that were doing quite well had to totally rethink their business models quickly in order to survive.  One of the best ways to expand your business and have a secure lifeline in unexpected rough times is to become a government contractor. The United States government is one of the most powerful consumers of goods and services in the world. This is a 500 hundred billion dollar industry that is required to set aside at least 23 percent of these contracts specifically for small businesses.  Innovation Is Key  The government needs to be very careful about how they handle money that is provided by taxpayers. They are tasked with making sure that things go smoothly and no unnecessary risks are taken. This is a great opportunity for a small business that prides itself on finding innovative solutions to age-old problems.  The United States government is open to fresh perspectives and ideas that can streamline their systems or save them money. Do not be afraid to think outside the box when you bid for government contracts. Your new ways of doing things could be just the thing to make you stand apart from the other companies vying for the same opportunity. They are particularly keen to listen to ideas that have been proven in the private sector.  Flex Your Expertise  This is not the time to be shy about your business’s accomplishments. Being a small business does not automatically mean that you are the underdog in the competition.  Bigger is certainly not always better.  Small businesses can often prove to be more agile, efficient, and have better response times when compared to their larger counterparts. A larger organization might not have the flexibility to pivot the way you can, which allows small businesses to be able to think on their feet during crises. Smaller companies can also provide more personalized customer services which is something all consumers appreciate.  Be Precise And Follow Directions  Naturally, the government is a stickler for following rules and regulations. It is shocking how many bids get tossed out because companies fail to follow basic directions. Be aware of deadlines and do not leave anything black when filling out forms. The request for proposals or RFPs has very specific instructions and you must take everything seriously. Just think of it like filing your income taxes and do not take any unnecessary shortcuts.  The Federal Government Has Government Personnel That Are Strictly Utilized to Help Small Businesses Be More Competitive In Securing Government Contracts  Here are some examples:  SBA Procurement Center Representative (PCR): Procurement Center Representatives are often located at a major government buying office, even though they technically work for the Small Business Administration. They will identify items and services that could be produced or provided by small businesses and try to get them “set aside” for small businesses, which means that only small businesses can bid for the contracts.   Competition Advocate: This person is responsible for promoting full and open competition at high management levels in the major buying offices. They are supposed to challenge overly restrictive statements of work and contract clauses that can prove to be burdensome. They also try to expand competition for items by offering challenges to requirements that are not deemed necessary for the performance or essential physical characteristics.   Small Business Specialists (SBS): The law requires that every government buying location must have a Small Business Specialist. These specialists work specifically with small businesses to help them to business with that office. Larger government offices might have full staff while smaller offices might only have one part-time employee assigned to this role. Major government buying offices have full-time staff, while smaller offices have a part-time person assigned to that task.   SBA Commercial Marketing Representative (CMR): Commercial Marketing Representatives keep track of large companies doing work for their departments. These representatives are often the go-to person for fantastic subcontracting opportunities for small businesses.   It is smart to utilize this group of highly specialized government personnel as they are an invaluable resource for small businesses to succeed in obtaining government contracts.  National Contracts Management Association  The National Contracts Management Association (NCMA) is a government-supported organization that was started years ago (1959). It was started to help companies do business with the federal government.  The organization provides certification programs and educational seminars for small businesses. They also print a monthly magazine called Contract Management. The fee for new membership is $120 and can be thereafter renewed at $100 per year.  The Federal Emergency Management Agency (FEMA)  FEMA is a government agency that handles disasters such as tornadoes, earthquakes,  and hurricanes. They are always hiring government contractors, particularly since much of their work revolves around being able to mobilize a large workforce in a relatively short period of time. These jobs can range from providing temporary housing to the displaced to providing clean water and food to those in need. Go to this site to find out more about small businesses working with FEMA.  FEMA is also part of the Department of Homeland Security. This is another agency that has many contracting opportunities. Just go to https://www.dhs.gov/do-business-dhs to learn more about this agency.  Make Sure You Have Your CAGE Code (Commercial and Government Entity)  This code is five characters and unique to your business. It’s basically your ID code, and government agencies will identify your business using this code. It is a bit like a social security number for your business. If your business includes more than one facility, then you will need multiple CAGE codes. Each location must have its own unique code, and each location must be registered separately with SAM.  Remember Registration With The SAM Directory Is The Vital First Step  SAM stands for System Award Management.  To do any business with the federal government, you must register your business in the System for Award Management directory. The government will not hire any type of business (large or small) that has… Continue reading Guide To Federal Contracting -Part 2

The First Step Is Registering With SAM  To do any business with the federal government, you must register your business in the System for Award Management directory. The government will not hire any type of business (large or small) that has not registered in SAM directory.  Please read one of the helpful blog articles on our site like Everything You Need to Know About SAM for Small Businesses.  These blogs will help give you all the information you need to understand how we can help make the process very easy for you. Sam Directory will happily guide you through this often confusing process.  What do I need to register for the Sam Directory?  You will need the following :  A Data Universal Numbering System or DUNS from Dun and Bradstreet  Your Tax Identification Number or TIN  A Social Security Number if you are a Sole Proprietor.  CAGE Code (Commercial and Government Entity)  This code is five characters and unique to your business. It’s basically your ID code, and government agencies will identify your business using this code. It is a bit like a social security number for your business. If your business includes more than one facility, then you will need multiple CAGE codes. Each location must have its own unique code, and each location must be registered separately with SAM.  Where Do You Find Government Contracts For Bidding  Search for opportunities at the following SAM.gov. Federal agencies are required to publish all contracts that are above $25,000 on SAM.gov. This means that there are a large number of contracts advertises there at any given time.  Contact a procurement officer for information on contracts that are below the $25,000 threshold for publishing.  Look To Your Local PTAC Office  Procurement Technical Assistance Centers or PTACs provide free assistance in government contracting. They will help you identify bidding opportunities and if your company meets certain criteria to work with the government. Here is also where you can find out if your business can be certified as 8(a), WOSB. or HUBZone.  The Bid  The Federal government has the following type fo solicitations for bidding:  Request for Quotation (RFQ). This type is for contracts below $150,000 with a simplified acquisition procedure.  Request for Proposal (RFP). This type of solicitation asks vendors to make a proposal in response to the government request. You can (and often will) discuss delivery details, technical requirements, and specifications with the contracting officer when you bid on that type of solicitation.  Invitation for Bid (IFB). The “lowest bid wins” or “sealed bid” type of solicitation. No discussion or price negotiation is implied here.  Request for Information (RFI). This is mostly to research the market and evaluate the interest and capabilities of contractors in a specific niche.  Make sure you read the solicitation requirements carefully. A solicitation package will include, documents, technical conditions, attachments, and various other things required with the submission. For most federal government contracts under RFP and IFB solicitations, there are standard contracting forms you should fill. As for required documents, they are listed in the solicitation  Contact your contracting officer if you have questions. It is important that you understand every single thing about the solicitation that you are bidding on. Also, look to FARs (Federal Acquisitions Regulations) that govern the solicitation you are to respond to make sure you know the regulations and requirements.  Small Business Administration Certifications  A Small Business Administration certification is a great way for your business to stand out in the marketplace. Certifications can help you gain access to specialized funding and scholarships, allow you to compete for set-aside contracts, and can be a great bonus to potential clients. Here are some certifications to consider for your small business:  Women-Owned Small Business Federal Contract Program (WOSBs)  8(a) Business Development Program  The Service-Disabled Veteran-Owned Small Business Concern Procurement Program(SDVOSB)  Historically Underutilized Business Zone Program (HUBZone)  Networking  Sometimes the hardest step is getting your foot in the door. Networking is extremely important when trying to secure government contracts. The Small Business Administration (SBA) is a great resource and hosts many events throughout the year. These events are usually no cost to business owners and can offer a treasure trove of information about how to obtain contracts from various agencies.   This is your opportunity to shine so make sure you are prepared to present an elevator pitch to better define your company. This is a speech that explains what your business has to offer and how you can help another organization meet their goals. It should be short and simple, no longer than a 30-second elevator ride.  Do Your Research  Once you have selected some agencies that are in need of your goods and services, it is very important to research your customers. Luckily, nowadays you can find out a lot about an organization online.  At the end of the day, the United States government is a customer just like any other. However, this customer has deep pockets and unlimited needs. A small business can cater to the government by following a strategy in which the customer’s needs always come first. Identify what the government agency’s pain points are and then offer them your innovative solutions to their problems. This type of discipline always wins big points with the government. Here are a couple of examples of how you can find the information you need in order to win lucrative government contracts:  Inquire about the vendor Outreach Sessions and when will they be held  Inquire how your company’s products/services could help with the agency’s missions  Request meetings with Agency Program managers leading the contract requirements you’re pursuing  If you would like to do additional research, you can also check www.fbo.gov, an online listing of government contracts that detail all contracts with a value exceeding $25,000. Another available resource is www.usaspending.gov, a site that details how government money is spent, what agency is issuing awards, and who the federal government is buying from. 

What Is Government Contracting?  Government contracting is when specific government agencies contract with private companies for specific goods or services. The agencies usually put out a contract or often a request for proposal (RFP) and various companies can place bids for the project. Once an agency selects a particular business, a contract is signed, and that business is now considered a government contractor.  Why Work For The Government?  There are many compelling reasons to work for the Federal Government.  We will go into in-depth detail about how a small business can benefit greatly from being a government contractor.  Small Business Administration Certifications  A Small Business Administration certification is a great way for your business to stand out in the marketplace. Certifications can help you gain access to specialized funding and scholarships, allow you to compete for set-aside contracts, and can be a great bonus to potential clients. Here are some certifications to consider for your small business:  Women-Owned Small Business Federal Contract Program (WOSBs)  8(a) Business Development Program  The Service-Disabled Veteran-Owned Small Business Concern Procurement Program(SDVOSB)  Historically Underutilized Business Zone Program (HUBZone)  Small Businesses Are Given Special Consideration When It Comes To Government Contracts  In many markets, small businesses are often outcompeted by larger organizations that often have access to almost unlimited resources. This set aside actually might increase a small business’s chances of winning a lucrative bid.  The federal government is required to set aside at least 23 percent of its total spending specifically for small businesses. Several small businesses have made a fortune just on federal government contract awards. However, many small businesses fail to realize that the government actually has an abundance of websites to help them find these government contracting opportunities.  The Federal Government Offers Great Opportunities For Many Types Of Businesses  The government actually designates a portion of the contracts for women-owned small businesses, small disadvantaged businesses, companies within historically underutilized business zones (HUBZone), and service-disabled, veteran-owned small organizations. This allows for underserved groups to have a real chance to get awarded lucrative government contracts.  Special Programs  Help is available from special small business programs that encourage participation by small businesses and help these businesses navigate the government contracting maze This includes small businesses owned by minority and traditionally disadvantaged groups. These programs, which are administered by the Small Business Administration (SBA), assist small businesses on how to obtain both large business and government procurements.  Here is a list of websites that are provided by the government to help small businesses obtain contracting information.  Publications  The government has issued some publications to also assist small businesses. They are as follows:   Selling to the Military: Has all the information needed about items the military is currently looking to purchase. This includes contact information for the buying offices and the Small Business Office.  Small Business Specialists for DoD: This is a listing of names, addresses, and phone numbers for all the resources you need to do business with the Department of Defense which is one of the most well-funded purchasers in the government.  Participating in the VA Acquisition Program: This publication covers general information about how and what the Veterans Administration buys.  Do Your Research  Once you have selected some agencies that are in need of your goods and services, it is very important to research your customers. Luckily, nowadays you can find out a lot about an organization online.  At the end of the day, the United States government is a customer just like any other. However, this customer has deep pockets and unlimited needs. A small business can cater to the government by following a strategy in which the customer’s needs always come first. Identify what the government agency’s pain points are and then offer them your innovative solutions to their problems. This type of discipline always wins big points with the government. Here are a couple of examples of how you can find the information you need in order to win lucrative government contracts:  Inquire about the vendor Outreach Sessions and when will they be held  Inquire how your company’s products/services could help with the agency’s missions  Request meetings with Agency Program managers leading the contract requirements you’re pursuing  If you would like to do additional research, you can also check www.fbo.gov, an online listing of government contracts that detail all contracts with a value exceeding $25,000. Another available resource is www.usaspending.gov, a site that details how government money is spent, what agency is issuing awards, and who the federal government is buying from.  A Fantastic Presentation Is The Key To Success  Having a good presentation is vital to winning over the federal government. You want to be able to make an excellent impression that goes beyond just having a great price point. It is important to understand that this is not your typical business client. Because the presentation to the United States is so different from presenting to other businesses, many companies get flustered.  Let us guide you through this often intimidating process.  Make Sure You Have Your CAGE Code (Commercial and Government Entity)  This code is five characters and unique to your business. It’s basically your ID code, and government agencies will identify your business using this code. It is a bit like a social security number for your business. If your business includes more than one facility, then you will need multiple CAGE codes. Each location must have its own unique code, and each location must be registered separately with SAM.  How Do You Get Started Working With The Government?  SAM stands for System Award Management.  In order to do any business with the federal government, you must register your business in the System for Award Management. The government will not hire any type of business that has not registered in the SAM directory.  We have an article on our site, Everything You Need to Know About SAM for Small Businesses, that gives you important information about this process.  As a smart entrepreneur, you have already used our site to register in the SAM directory. Congratulations on taking this important first step to become a government contractor. 

Each year, the Federal Government spends billions of dollars on the construction of roads, schools, and other public infrastructure. This is a great field to pursue that will not be slowing down anytime soon due to the recent pandemic.  Register With SAM  SAM stands for System Award Management.  In order to do any business with the federal government, you must register your business in the System for Award Management. The government will not hire any type of business that has not registered in the SAM directory.  How Do You Get Started Working With The Government?  For example, the following are the steps to apply for a federal grant:  Step 1: Obtain a DUNS Number  Step 2: Register with SAM  Step 3: Register with Grants.gov  You might be wondering what SAM means and how do you register with the site. Go to sam. directory to find people who are willing to make this as easy as possible. Be sure to also check out our informative article Everything A Small Business Needs to Know About the SAM Directory, which should easily answer most of your questions.  Make Sure You Get A CAGE Code (Commercial and Government Entity)  This code is five characters and unique to your business. It’s basically your ID code, and government agencies will identify your business using this code. It is a bit like a social security number for your business. If your business includes more than one facility, then you will need multiple CAGE codes. Each location must have its own unique code, and each location must be registered separately with SAM.  Websites That Help Your Business Find Contracting Jobs  Help is available from special small business programs that encourage participation by small businesses and help these businesses navigate the government contracting maze This includes small businesses owned by minority and traditionally disadvantaged groups. These programs, which are administered by the Small Business Administration (SBA), assist small businesses on how to obtain both large business and government procurements.  Here is a list of websites that are provided by the government to help small businesses obtain contracting information.  FedBizOpps (Federal Business Opportunities): This is the spot for government procurement opportunities of $25,000 or more. Here, buyers for the government are able to publicize their business opportunities by posting information directly to FedBizOpps and commercial companies looking to do business with the government are able to find opportunities solicited by the entire federal contracting community. (http://www.fbo.gov)  Small Business Administration (SBA): This site has a great deal of information pertaining to small businesses as well as SBA-Net, a gateway to opportunities, and a great place to network. It has a direct connection to the CCR database, which is fast becoming the sole database used by government buyers to locate potential small business contractors.  Procurement Gateway: This is the Defense Logistics Agency site for all opportunities posted from its procurement offices. The defense department is one of the largest consumers of goods and services in the government. Their procurement department is encouraged to work with small businesses and this can be a very lucrative opportunity for a lot of small to midsize companies.  Federal Acquisition Jumpstation: This site has most links to the federal sites that small business owners would be smart to explore  Recovery.gov – This particular government website provides easy access to important data related to the Recovery Act  and allows for the reporting of potential fraud, abuse, and other types of government waste  E-Verify – This is a handy website in which employers can determine if an employee is eligible to work in the United States based on information reported on the employee’s I-9 form.   USA.gov – This site is all-encompassing and has a lot to offer small businesses. It is a gateway to other government websites that can be very important to small businesses. This is the place to find info on how to do business with the federal government, Data and Statistics, Laws, and Regulations.  FedWorld– This system contains the full text of 7,407 U.S. Supreme Court Decisions from 1937 to 1975. Decisions are available as ASCII text files that can be read on your browser’s screen or saved to your hard drive and accessed by using most word processor programs. It often also has a listing of government jobs  Department of Veteran Affairs–This government agency is particularly helpful to assist veteran-owned small businesses in obtaining federal contracting opportunities.  Library of Congress–This is a guide to finding information on federal government contracting. It is intended for anyone, from novice contractors to those who have more experience with working with the government. Included are statistical sources, news sources, and administrative sources.  The Federal Government Has Government Personnel That Are Strictly Utilized to Help Small Businesses Be More Competitive In Securing Government Contracts  Here are some examples:  SBA Procurement Center Representative (PCR): Procurement Center Representatives are often located at a major government buying office, even though they technically work for the Small Business Administration. They will identify items and services that could be produced or provided by small businesses and try to get them “set aside” for small businesses, which means that only small businesses can bid for the contracts.   Competition Advocate: This person is responsible for promoting full and open competition at high management levels in the major buying offices. They are supposed to challenge overly restrictive statements of work and contract clauses that can prove to be burdensome. They also try to expand competition for items by offering challenges to requirements that are not deemed necessary for the performance or essential physical characteristics.   Small Business Specialists (SBS): The law requires that every government buying location must have a Small Business Specialist. These specialists work specifically with small businesses to help them to business with that office. Larger government offices might have full staff while smaller offices might only have one part-time employee assigned to this role. Major government buying offices have full-time staff, while smaller offices have a part-time person assigned to that task.   SBA Commercial Marketing Representative (CMR): Commercial Marketing Representatives keep track of large companies doing work for their departments. These representatives are often the go-to person… Continue reading How To Get Government Construction Contracts

Small Businesses Are Given Special Consideration When It Comes To Government Contracts  In many markets, small businesses are often outcompeted by larger organizations that often have access to almost unlimited resources. This set aside actually might increase a small business’s chances of winning a lucrative bid.  The federal government is required to set aside at least 23 percent of its total spending specifically for small businesses. Several small businesses have made a fortune just on federal government contract awards.  So, How Does A Small Business Successfully Start Relationships With Key Government Contractors?  The first step is to become familiar with the government marketplace. Do your research and become familiar with the terms that are commonly used in that industry. Then study the different regulations and become certified with the government, if necessary. You could also attend government trade shows to better understand the needs of particular government and state agencies. This will help you identify the needs of prime contractors and any niches that your business could fill.  Networking  Sometimes the hardest step is getting your foot in the door. Networking is extremely important when trying to secure government contracts. The Small Business Administration (SBA) is a great resource and hosts many events throughout the year. These events are usually no cost to business owners and can offer a treasure trove of information about how to obtain contracts from various agencies.   This is your opportunity to shine so make sure you are prepared to present an elevator pitch to better define your company. This is a speech that explains what your business has to offer and how you can help another organization meet their goals. It should be short and simple, no longer than a 30-second elevator ride.  Never Underestimate The Power Of Relationships  As part of understanding your customer, it is very important to build strong relationships within the government agencies. The government is not a giant cold faceless entity. It is made up of people and they will appreciate the opportunity to speak to you face to face. An impressive interview might win you a supporter that will lobby in your favor.  Think About Subcontracting  Subcontracting with a prime contractor rather than the government means that you do not have to worry about the strict rules and regulations that are part of working directly with the government. This is because the subcontractor is actually answerable to the prime contractor, not the government. Luckily, prime contractors are always on the lookout for companies that can help them complete these important government projects. Subcontracting has many advantages for less experienced businesses.  Special Programs  Help is available from special small business programs that encourage participation by small businesses and help these businesses navigate the government contracting maze This includes small businesses owned by minority and traditionally disadvantaged groups. These programs, which are administered by the Small Business Administration (SBA), assist small businesses on how to obtain both large business and government procurements.  Here is a list of websites that are provided by the government to help small businesses obtain contracting information.  FedBizOpps (Federal Business Opportunities): This is the spot for government procurement opportunities of $25,000 or more. Here, buyers for the government are able to publicize their business opportunities by posting information directly to FedBizOpps and commercial companies looking to do business with the government are able to find opportunities solicited by the entire federal contracting community. (http://www.fbo.gov)  Small Business Administration (SBA): This site has a great deal of information pertaining to small businesses as well as SBA-Net, a gateway to opportunities, and a great place to network. It has a direct connection to the CCR database, which is fast becoming the sole database used by government buyers to locate potential small business contractors.  The Federal Government Has Government Personnel That Are Strictly Utilized to Help Small Businesses Be More Competitive In Securing Government Contracts  Here are some examples:  SBA Procurement Center Representative (PCR): Procurement Center Representatives are often located at a major government buying office, even though they technically work for the Small Business Administration. They will identify items and services that could be produced or provided by small businesses and try to get them “set aside” for small businesses, which means that only small businesses can bid for the contracts.   Competition Advocate: This person is responsible for promoting full and open competition at high management levels in the major buying offices. They are supposed to challenge overly restrictive statements of work and contract clauses that can prove to be burdensome. They also try to expand competition for items by offering challenges to requirements that are not deemed necessary for the performance or essential physical characteristics.   Small Business Specialists (SBS): The law requires that every government buying location must have a Small Business Specialist. These specialists work specifically with small businesses to help them to business with that office. Larger government offices might have full staff while smaller offices might only have one part-time employee assigned to this role. Major government buying offices have full-time staff, while smaller offices have a part-time person assigned to that task.   SBA Commercial Marketing Representative (CMR): Commercial Marketing Representatives keep track of large companies doing work for their departments. These representatives are often the go-to person for fantastic subcontracting opportunities for small businesses.   SAM stands for System Award Management.  In order to do any business with the federal government, you must register your business in the System for Award Management. The government will not hire any type of business that has not registered in the SAM directory.  Make Sure You Get A CAGE Code (Commercial and Government Entity)  This code is five characters and unique to your business. It’s basically your ID code, and government agencies will identify your business using this code. It is a bit like a social security number for your business. If your business includes more than one facility, then you will need multiple CAGE codes. Each location must have its own unique code, and each location must be registered separately with SAM. 

Welcome Back!  In the first part of our series, we talked about some of the technical things your business needs to complete in order to land your first government contract. Now, we will discuss some ways in which you can get your foot in the door to this lucrative world.   Narrow In On The Customer’s Needs  At the end of the day, the United States government is a customer just like any other. However, this customer has deep pockets and unlimited needs. A small business can cater to the government by following a strategy in which the customer’s needs always come first. Identify what the government agency’s pain points are and then offer them your innovative solutions to their problems. This type of discipline always wins big points with the government.  Be Precise And Follow Directions  Naturally, the government is a stickler for following rules and regulations. It is shocking how many bids get tossed out because companies fail to follow basic directions. Be aware of deadlines and do not leave anything black when filling out forms. The request for proposals or RFPs has very specific instructions and you must take everything seriously. Just think of it like filing your income taxes and do not take any unnecessary shortcuts.  Never Underestimate The Power Of Relationships  As part of understanding your customer, it is very important to build strong relationships within the government agencies. The government is not a giant cold faceless entity. It is made up of people and they will appreciate the opportunity to speak to you face to face. An impressive interview might win you a supporter that will lobby in your favor.  Think About Subcontracting  Subcontracting with a prime contractor rather than the government means that you do not have to worry about the strict rules and regulations that are part of working directly with the government. This is because the subcontractor is actually answerable to the prime contractor, not the government. Luckily, prime contractors are always on the lookout for companies that can help them complete these important government projects. Subcontracting has many advantages for less experienced businesses.  Federal Contracting Also Makes Prime Contractors Want To Seek Out Businesses That Are Traditionally Disadvantaged  This means that prime contractors are on the lookout for talented businesses that are owned by women, minorities, and veterans. This provides opportunities for these groups in federal contracting that might not be available in other markets. Also, it is not unusual for prime contractors to be very loyal to their subcontractors and give them several avenues for repeat business. These are incredibly valuable relationships and firms should develop a strategy for how to approach these types of potential partners.  So, How Does A Small Business Successfully Start Relationships With Key Government Contractors?  The first step is to become familiar with the government marketplace. Do your research and become familiar with the terms that are commonly used in that industry. Then study the different regulations and become certified with the government, if necessary. You could also attend government trade shows to better understand the needs of particular government and state agencies. This will help you identify the needs of prime contractors and any niches that your business could fill.  A Fantastic Presentation Is The Key To Success  Having a good presentation is vital to winning over the federal government. You want to be able to make an excellent impression that goes beyond just having a great price point. It is important to understand that this is not your typical business client. Because the presentation to the United States is so different from presenting to other businesses, many companies get flustered.  Let us guide you through this often intimidating process.  Be Prepared To Give An Oral Presentation  Oral presentations are very common for companies who want to work for the United States government. This is not going to be your typical audience. You might not get the greeting and niceties that usually come with this type of business meeting. The government employees are not allowed to react to anything that is said. You should be used to seeing no feedback until the question and answer period.  You Still Need To Make Yourself Stand Out  The federal government will be watching many groups of people from various other companies. They have a point system and award the contract to the business that scores the most points. The government will often see the basic material being presented numerous times. It is important that your presentation is unique and memorable in a positive way. Your company really needs to catch their attention.  Make Sure You Establish A Good Business Reputation  Try to establish a network of government contacts at various agencies. These contacts can often serve as invaluable advocates for your business. They can also give you advice on how to navigate the bidding process. After you receive awards, make sure you work hard to establish a track record of reliability and success.    Make Sure You Have Your CAGE Code (Commercial and Government Entity)  This code is five characters and unique to your business. It’s basically your ID code, and government agencies will identify your business using this code. It is a bit like a social security number for your business. If your business includes more than one facility, then you will need multiple CAGE codes. Each location must have its own unique code, and each location must be registered separately with SAM.  SAM Directory Can Help  Remember, registering for the SAM directory gives a business automatic entry into the extremely lucrative marketplace of the federal government. It is also a crucial step for applying for rewarding government grants that can help your business reach its full potential.  Let us, the professionals at SAM Directory, make sure that you do all that is needed to not miss out on this important opportunity. We will make certain that your application is processed quickly and efficiently so you can start being a federal contractor as soon as possible. We remove this hassle so you can go about the important mission of running your… Continue reading How To Obtain Your First Federal Contract As A Small Business- Part 2

Where Do You Find Government Contracts For Bidding  Search for opportunities at the following SAM.gov. Federal agencies are required to publish all contracts that are above $25,000 on SAM.gov. This means that there are a large number of contracts advertised there at any given time.  Contact a procurement officer for information on contracts that are below the $25,000 threshold for publishing.  Look To Your Local PTAC Office  Procurement Technical Assistance Centers or PTACs provide free assistance in government contracting. They will help you identify bidding opportunities and if your company meets certain criteria to work with the government. Here is also where you can find out if your business can be certified as 8(a), WOSB., or HUBZone.  Get The Bid Package  After you have ascertained the government contract that you want to bid on, it is important to contact the agency and request a bid package. This package is also often called the solicitation package.  After you receive the package, review it carefully. Find out what the purchasing office is wanting to buy and figure out if your company can meet the requirements.  The Bid Package should contain the following: the buyer’s contact information including name, address, phone number, and e-mail address are listed on the bid notice. When you request the bid package, make sure to also ask for amendments.  The Bid  The Federal government has the following type of solicitations for bidding:  Request for Quotation (RFQ). This type is for contracts below $150,000 with a simplified acquisition procedure.  Request for Proposal (RFP). This type of solicitation asks vendors to make a proposal in response to the government request. You can (and often will) discuss delivery details, technical requirements, and specifications with the contracting officer when you bid on that type of solicitation.  Invitation for Bid (IFB). The “lowest bid wins” or “sealed bid” type of solicitation. No discussion or price negotiation is implied here.  Request for Information (RFI). This is mostly to research the market and evaluate the interest and capabilities of contractors in a specific niche.  Make sure you read the solicitation requirements carefully. A solicitation package will include, documents, technical conditions, attachments, and various other things required with the submission. For most federal government contracts under RFP and IFB solicitations, there are standard contracting forms you should fill. As for required documents, they are listed in the solicitation  Contact your contracting officer if you have questions. It is important that you understand every single thing about the solicitation that you are bidding on. Also, look to FARs (Federal Acquisitions Regulations) that govern the solicitation you are to respond to make sure you know the regulations and requirements.  Be Competitive  Use resources like USASpending.gov or govspend.com to compare your bids using third-party service providers. The government uses Most Favored Customer or MFC to determine what is fair and reasonable pricing.  This is defined as”  A Standard Clause allows a buyer to obtain the best possible price on goods or services from a seller by requiring it to provide the buyer with the lowest price among all buyers in that market. If the seller wants to offer a different buyer a lower price, it must also first offer that price to the buyer with the most favored customer clause (MFC), also known as a most favored nation clause. MFCs can implicate US antitrust laws, which analyze the enforceability of MFCs using a rule of reason analysis. This Standard Clause addresses the price of goods and has integrated drafting notes with important explanations and drafting tips.  What Type Of Contract Is Being Sought?  The three major contracts that are being sought are fixed price, cost-reimbursement, and special situation.  Fixed-Price Contracts  These government contracts are used when the scope of work is clear from the beginning and therefore a price is determined by the agency in advance. There are many different types of this particular contract.  Firm Fixed-Price (FFP)  This contract means that the price is set in stone and the vendor or small business awarded the contract will be taking all the risk. So if the contract is over budget, the small business owner has to pay out of pocket. However, if the project is under budget, then the business will keep the extra profit. This is a great contract for companies that are precise with their pricing and a lot of experience in the field.  Fixed-Price with Award Fees  A fixed price with award fees contract offers a hard and fast price for objective performance success. This contract will also have additional awards to incentivize more subjective qualities like aesthetic appearance and technical knowledge  Fixed-Price with Economic Price Adjustment  The prices are often adjusted at the top of the project to account for changes within the cost of labor, materials, or market prices of specific items within the contract. The criteria for these sorts of price changes must be defined within the original contract.  Fixed Price Incentive (FPI)  This contract states a maximum price but it also awards the service provider for coming in under budget. So coming under budget in this type of contract allows for a larger profit for the small business provider.  Cost-Reimbursement Contracts  Cost-reimbursement is a category of contracts that are used when it would be too difficult to estimate the cost of the project in advance. They usually define a spending limit but are a way lower risk for the service provider than fixed-price contracts.   Cost Contracts  This contract pays only for expenses and there is no profit for the small business provider. Cost contracts are often used for research projects provided by non-profit organizations.  Submission  It usually takes the government 30 to 120 days to review your submission. The Contracting Officer evaluates many factors including financial figures of your business, how long it has been on the market, past performance reports, and, of course, if your pricing is competitive.  Whether your proposal is accepted or rejected, you will receive a response from the Gov’t. Sometimes, the Contracting Officer requests some more information or asks you to clarify some issues. If… Continue reading Government Contracting Procedures