Category: Uncategorized

Understanding The Regulations There are many advantages to being a successful government contractor. However, the government has stricter rules and regulations regarding accounting when compared to private sector clients. It is important to keep up with federal regulatory requirements.  Federal government agencies receive their funding from taxpayer dollars and need to justify spending to prevent waste. We will help you make sense of government accounting so you can develop a methodology that works for you and your business. The Integrity Of The Procurement Process All bidders on government contracts must have equal access to any information needed to create a comprehensive bidding package. A company bidding on a federal contract may not receive information that is not public to provide an unfair competitive advantage in the field. This includes things like an innocent email accidentally going to the wrong person. Contingent Fees A government contractor is not allowed to agree with a third party where the third party will pay a fee contingent on the successful winning of a federal contract. This is to ensure contractors are not tempted to cut corners to be paid. The Government Is Different Small businesses should know that doing business with the federal government is different from doing business with civilian companies or individuals. The government must protect the public interest and not abuse funds in the public treasury. They must be very responsible with the money provided by their citizens’ hard-earned tax dollars to avoid all inferences of unfair advantage. A small business must make sure that they are not participating in the following: Bribes Gratuities Kickbacks Conflict of interest Lack of procurement integrity Any suspicion of this type of conduct can bar a business from doing business with the federal government for life and can include criminal sanctions. It would help if you were very careful not to do anything that might violate the integrity of the government process. These provisions include the “officials not to benefit” clause, the “anti-kickback” provisions, the “gratuities” clause, etc. Simplified Procedures In 1994 the Federal Acquisition Act or FASA simplified the buying procedures of the government. Many more harsh restrictions on government purchases were removed for any purchase less than $100,000. Now agencies use much simpler procedures for analyzing and soliciting bids up to the $100,000 amount. However, the government must still advertise all purchases over $25,000 at www.fbo.gov. These simplified procedures mean that approval levels are lower, there is much less documentation, and administrative details are less complex. The government now has to reserve purchases that are between $2,500 and $100,000 for small businesses. The exception is the contracting officer cannot obtain offers from two or more small businesses that are competitive in price and quality. Purchases not exceeding $2,500 individually or through multiple items are considered micro-purchases. These do not require competitive quotes but are open to small businesses. Micro-purchases are often made using government-issued purchase cards or typical credit cards. Contracting Officers The Federal Government always conducts any procurement business through contracting officers. These contracting officers have the authority to bind the government to a contract unless otherwise stated in writing. Make sure that the person you are dealing with is the contracting officer authorized to represent the agency or office that will award the contract. Procurement Government procurement has always been advancing many national, economic, and social objectives. Government contractors must comply with the rules and regulations of labor standard statutes. This will include the Service Contract Act, Contract Work Hours and Safety Standards Act, and other statutory requirements that further socio-economic objectives, except for certain contracts where such legislation is specifically stated as non-applicable. Bidding The government usually makes sure contracts are competitive through sealed bidding. First, the agency makes sure that its requirements are accurate and complete. Then an Invitation For Bid or IFB is issued. The IFB will describe the type of product or service the government procures. It also includes: Preparation Instructions  Conditions of Purchase Packaging  Delivery  shipping  The payment with contract clauses to be included Submission Deadline The sealed bids are public at the purchasing office when designated in the invitation. The bids are read aloud and then recorded. The contract will be rewarded to the bidder with the most competitive pricing and can meet the government agency’s requirements.  Government-wide IFBs can be found at FedBizOpps, which links directly to the invitation. Potential contractors can search the Central Contractor Registration to identify qualified small business opportunities. Any small business that wants to sell to the government should be registered on CCR. Government Contracts Can Be Very Lucrative For Small Businesses The United States government issues 500 billion dollars in federal contracts every year. They also set aside 23 billion dollars specifically for small businesses. However, many small businesses find the process of winning government contracts daunting and give up before even really trying.  Sam Directory will guide you through the process of writing a successful government contract proposal. We are invested in your success and want to help you succeed in winning a lucrative federal contract. Make Sure You Have Your CAGE Code (Commercial and Government Entity) This code is five characters and unique to your business. It’s your ID code, and government agencies will identify your business using it. It is a bit like a social security number for your business. You will need multiple CAGE codes if your business includes more than one facility. Each location must have its unique code, and each must be registered separately with SAM. How Do You Get Started Working With The Government? SAM stands for System Award Management. To do business with the federal government, you must register your business in the System for Award Management. The government will only hire businesses that have 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… Continue reading Why Small Businesses Need To Care About Compliance As Government Contractors

Specifications As of 2001, the United States Federal Government began to utilize Federal Business Opportunities (FedBizOpps) to list all procurement opportunities expected to exceed $25,000. FedBizOpps is how the government communicates its buying specifications to potential contractors.  The specifications are exact for most of the products and services that government agencies buy regularly. Your contract will contain extremely precise specifications that must be followed meticulously. The specifications which describe the government’s requirements were contained in the invitation for bids or requests for proposals on which you based your bid or proposal. If your company is awarded a contract, you are bound to deliver the product or service described in the specifications. A company is bound by the terms of these specifications and the basic specifications. Failure to deliver a product meeting these terms will result in the termination of your contract for default. So, it is important to understand all specifications before bidding on a federal contract. The government prefers reliable contractors and attention to the smallest details. 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. Make Use Of Government-Provided Free Tools. You can identify contracting opportunities online by utilizing this forecasting tool that lets you see available opportunities. You can study government contracts that are a couple of years old to see what requirements are needed to win the job. This puts you in an excellent position to have all your research completed when the contract is about to expire, and you put in your proposal. Bidding The government usually makes sure contracts are competitive through the use of sealed bidding. First, the agency makes sure that its requirements are accurate and complete. Then an Invitation For Bid or IFB is issued. The IFB will describe the type of product or service that the government is procuring. It also includes: Preparation Instructions  Conditions of Purchase Packaging  Delivery  shipping  The payment with contract clauses to be included Submission Deadline The sealed bids are public at the purchasing office when designated in the invitation. Simplified Procedures In 1994 the Federal Acquisition Act or FASA simplified the buying procedures of the government. Many more harsh restrictions on government purchases were removed for purchases less than $100,000. Now agencies use much simpler procedures for analyzing and soliciting bids up to $100,000. However, the government must still advertise all purchases over $25,000 at www.fbo.gov. These simplified procedures mean that approval levels are lower, there is much less documentation, and administrative details are less complex. The government now has to reserve purchases that are between $2,500 and $100,000 for small businesses. The exception is the contracting officer can only obtain offers from one or more small businesses that are competitive in price and quality. Purchases that do not exceed $2,500 individually or through multiple items are considered micro-purchases. These do not require competitive quotes but are open to small businesses. Micro-purchases are often made using government-issued purchase cards or typical credit cards. Get The Bid Package After you have ascertained the government contract you want to bid on, you must contact the agency and request a bid package. This package is also often called the solicitation package. After you receive the package, could you review it carefully? Find out what the purchasing office wants to buy and determine if your company can meet the requirements. The Bid Package should contain the buyer’s contact information, including name, address, phone number, and e-mail address 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 propose in response to the government’s 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. Understanding The Regulations There are many advantages to being a successful government contractor. However, the government has stricter rules and regulations regarding accounting when compared to private sector clients. It is important to keep up with federal regulatory requirements.  Federal government agencies receive their funding from taxpayer dollars and need to justify spending to prevent waste. We will help you make sense of government accounting so you can develop a methodology that works for you and your business. The Integrity Of The Procurement Process All bidders on government contracts must have equal access to any information needed to create a comprehensive bidding package. A company bidding on a federal contract may not receive information that is not public to provide an unfair competitive advantage in the field. This includes things like an innocent email accidentally going to the wrong person. Make Sure You Have Your CAGE Code (Commercial and Government Entity) This code is five characters and unique to your business. It’s your ID code, and government agencies will identify your business using it. It is a bit like a social security number for your business. You will need multiple CAGE codes if your business includes more than one facility. Each location must have its unique code, and each must be registered separately with SAM. How Do You Get Started Working With The Government? SAM stands for System Award Management. To do business with the federal government, you must register your business in the System for Award Management. The government… Continue reading Understanding The Process Of Government Contracting

The Federal Government Offers Great Opportunities For Many Types Of Businesses Small businesses are the economy’s lifeblood. They are often key sources of innovation and research. The mom-and-pop shop has been part of the landscape and American dream since the beginning of this great nation. The federal government can help you achieve your business dreams. Let us help you take this vital first step on the pathway to success. 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. 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 at  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 speech explains what your business has to offer and how you can help another organization meet its goals. It should be short and simple, a 30-second elevator ride at maximum. 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 significant government buying office, even though they technically work for the Small Business Administration. They will identify items and services that small businesses could produce or provide 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 significant 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 every government buying location to have a Small Business Specialist. These specialists work with small businesses to help them do business with that office. Larger government offices might have entire staff, while smaller offices might only have a part-time person assigned to that task. Central 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 working for their departments. These representatives are often the go-to for fantastic small business subcontracting opportunities.  It is wise to utilize this group of highly specialized government personnel as they are an invaluable resource for small businesses to obtain government contracts. The First Step Is Registering With SAM To do 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 been registered in the SAM directory. Please read one of the helpful blog articles on our site, 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 easy for you. In addition, 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. 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 below the $25,000 threshold for publishing. Simplified Procedures In 1994 the Federal Acquisition Act FASA simplified the buying procedures of the government. Many more harsh restrictions on government purchases were removed for purchases less than $100,000. Now agencies use much simpler procedures for analyzing and soliciting bids up to $100,000. However, the government must still advertise all purchases over $25,000 at www.fbo.gov. These simplified procedures mean that approval levels are lower, there is much less documentation, and administrative details are not as complex. The government now has to reserve purchases that are between $2,500 and $100,000 for small businesses. The exception is the contracting officer cannot obtain offers from two or more small businesses that are competitive in price and quality. Purchases not exceeding $2,500 individually or through multiple items are considered micro-purchases. These do not require competitive quotes but are not limited to small businesses. Micro-purchases are often made using government-issued purchase cards or typical credit cards. Make Sure You Are Organized Having solid financial records and a clearly thought-out process goes a long way to impress government agencies that you can handle the job. It presents a professional demeanor that is quite impressive. The Key To Winning A Government Contract Is To Pay Attention To Guidelines You must read closely what the request for proposals or RFPs wants in your bid. Make sure that you are aware of deadlines and who is handling the requests. Usually, small businesses have 6 to 8 weeks to submit a bid but this can vary, depending on the agency.  Make Use Of Government-Provided Free Tools. You can identify contracting opportunities online by utilizing this forecasting tool that lets you see available… Continue reading How Small Businesses Can Become Government Contracting Ninjas

Certain groups have experienced discrimination in the past that was not related to their qualifications. This discrimination kept them from participating in the free market because they did not have access to capital. In response, the Federal government tries to award contracts to businesses that are at least fifty-one percent owned by those from disadvantaged groups. Minority-Owned Business Status Five percent of the Federal government contracts are supposed to be awarded to members of an economically or socially disadvantaged group. This allows minority groups to remain competitive in the government market. Under the Small Business Act, certain individuals are presumed socially disadvantaged:  African-Americans Hispanic Americans, Asian Pacific Americans Native Americans (American Indians, Eskimos, Aleuts, or Native Hawaiians) Subcontinent Asian Americans. An individual not a member of one of the groups listed can be admitted to the program if he/she shows – through a “preponderance of the evidence” – that he/she is socially disadvantaged. For instance, an individual may show social disadvantage due to race, ethnic origin, gender, physical handicap, long-term residence in an environment isolated from the mainstream of American society, or other similar causes. How Do I Know Being A Government Contractor Is Right For My Company? There needs to be more certainty in business. A powerful client known for paying its bills on time, like our Federal Government, is a great asset. Also, many of your competitors might dismiss being a government contractor as too much trouble. This means that there could be surprisingly little competition in some spaces. Their shortsightedness can be your company’s advantage. What Qualifies As A Small Business? To be considered a small business, a company has to meet the following requirements: A business must meet small business size standards. Part of a business must be within the U.S. A business must operate mainly within the U.S. or make a significant contribution to the U.S. economy through the payment of taxes or the use of American products, materials, or labor. A business must be independently owned and operated. A business cannot be dominant in its field on a national basis. The first thing a small business must do to qualify for government contracts is to register with the SAM Directory. What Is The SAM Directory? SAM stands for System Award Management. To do business with the federal government, you must register your business in the System for Award Management. The government will not hire any 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. Luckily our site takes this headache off your hands. You can leave this important step to the experts at Sam Directory so you can concentrate on more important matters. The best part is once you register, you will no longer have to keep re-entering important information every time you apply for a new government opportunity. Additional Requirements In addition, the business must show economic disadvantage by submitting a narrative and personal financial documentation about the company’s income, assets, and net worth. Generally, successful applicants must also meet the following additional requirements: The business must be small according to the Size standards for small business concerns; The business must demonstrate a potential for success (generally by being in business for at least two years); The business must be unconditionally owned and controlled by by one or more disadvantaged individuals who are US citizens and who are of good character.; Registering For Minority Certification To qualify for the five percent of the contracts reserved for minority-owned or disadvantaged businesses, one must be certified by the government. This means a business is giving up 24 billion dollars of revenue by not registering. Registering also has other advantages. The SBA offers specialized training programs and mentoring to registered organizations free of charge. You also get admitted to opportunity fairs and networking events through the National Minority Supplier Development Council. Before applying for the 8(a) Program, each firm is urged to take an online training and self-evaluation course that can be found here at the 8(a) Business Development Suitability Tool. The first section of the online course explains the 8(a) Program intimately. It culminates in an eligibility self-assessment test. The test consists of a series of straightforward yes/no questions that evaluate the degree to which your firm meets the essential qualifications for the 8(a) Program. If key eligibility criteria are not met, you will be directed to the SBA resource deemed most appropriate to help you at this time. Special Consideration 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 following are set as statutory rules to give small businesses a fair chance in the marketplace: 23 percent of prime contracts are reserved for small businesses; 5 percent of prime and subcontracts are reserved for small disadvantaged businesses; 5 percent of prime and subcontracts are reserved for women-owned small businesses; 3 percent of prime contracts are reserved for HUBZone small businesses; 3 percent of prime and subcontracts are reserved for service-disabled veteran-owned small businesses. Small Businesses Are Given Special Consideration When It Comes To Government Contracts In many markets, small businesses are often outcompeted by larger organizations that have access to almost unlimited resources. This set aside 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. The United States Government Is A Very Powerful Client With Deep Pockets The Federal government usually spends around 500 billion dollars yearly on goods and services. This makes the U.S. government an extremely attractive client. There are few other organizations with this spending power and clout. The government also tends to buy… Continue reading How Diversity Is Encouraged In Federal Government Contracting

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 need more support.  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 going to be a different audience. You might not get the greeting and niceties that usually come with this business meeting. 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. People The first phase is when you will talk about the team working on the project. You need to mention the key hands-on person who will be directly involved and working with the government. This is not the time to name off people and recite their resumes. You have listed each person’s qualifications, background, education, and experience in the written proposal. Now your company needs to give the federal government true insight into the people who are going to be performing essential tasks. Have the key team members speak for themselves. Let the government really know how passionate and motivated your people are to win this particular contract. This is the time to bring up any special skills or experience that can not be easily gleaned from a piece of paper. Many companies that present orals to the federal government only go beyond what they supplied in the written proposal, which is a great way to be forgotten. Project Management It is important to highlight these considerations in the next phase: How is your organization set up?  How are you set up to handle problems?  Who are the players who handle problems?  How does your organization fit together? How do you draw on other strategic alliances or subcontractors?  How does everyone, internally and externally, work together?  What are some of your established processes?  Tell them how you handled similar projects. This is where you explain how your past experiences have prepared you for success in the present circumstances. Refrain from presenting this material in a manner that could be boring or humdrum. Your company must exude excitement about the organization and show your passion for the project. It would help if you talked about not only each individual’s commitment to the project but also how the organization as a whole and the management team is committed to ensuring the highest quality of performance. Problem Solving This is the most important phase of the whole presentation and the place where organizations often lose the most points. The problem-solving phase will consist of the federal government presenting you with a possible problem, giving you some time to discuss the problem and ask questions, and then they’ll watch how you solve the problem. It would help if you realized that the federal government doesn’t care what your final solution is; they care about your approach to the problem. They’re watching how you solve problems and work together as a team. You should practice problems solving simulations daily for at least two weeks before you head into the presentation. The more you practice problem-solving, the better you’ll do as a team. You Still Need To Make Yourself Stand Out The federal government will watch 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. Your presentation must be unique and memorable in a positive way. Your company needs to catch their attention. 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) Remember To Be Clear And Concise Only spend a little time explaining complex terminology that is very industry-specific. The elevator pitch should be so simple that any random person on the street can understand exactly what you are trying to convey. This is important because it ensures that you keep the listener’s attention, no matter their level of expertise. Practice Makes Perfect Now that you have a short, clear, and concise message, it is time to practice in front of the mirror. Many people find talking to themselves in front of a mirror silly and unpleasant. However, this is the best way to learn your elevator pitch until it becomes second nature. It will help you with things like smiling at the right moment and making pleasant eye contact.  Practice until you eliminate awkwardness and the words like “umm” from the elevator pitch. Make sure that you speak with enthusiasm in your voice. You want to make sure the listener understands the passion you feel for your business and make it sound very natural and organic. 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 business (large or small) that has not registered in SAM.  Sam Directory will help guide you through this process so you can spend your time preparing to win these lucrative government contracts. Please read one of the helpful… Continue reading How To Market Yourself As A Federal Government Contractor

The Federal Government Wants To Help Small Businesses Succeed Unlike other markets, the Federal government wants to make sure that small businesses are able to receive a substantial chunk of the $500 billion contracting pie. This makes the Federal government one of the most powerful consumers of goods and services in the whole entire world, and they want to help small businesses succeed in winning these 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. 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. 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 that 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 the novice contractor to those who are more experienced 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 do 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. 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… Continue reading How To Get Information About Government Contracting For Small Businesses

What Is An Elevator Pitch? Sometimes the hardest step is getting your foot in the door. Networking is extremely important when trying to secure government contracts. An organization that hosts networking and training events throughout the year, both nationally and locally, is the Small Business Administration (SBA). These events are usually at no cost to business owners and can offer a treasure trove of information about obtaining contracts from various agencies.  This is your opportunity to shine, so make sure you are prepared to present an elevator pitch to define your company better. This speech explains what your business has to offer and how you can help another organization meet its goals. It should be short and simple, no longer than a 30-second elevator ride. Summary Of The Elevator Pitch Here is a rundown of what is needed in the beginning: Grab them with a statement that engages them and prompts questions. Remember to smile and look friendly Introduce yourself Tell them what your company does What Do You Offer: What problems can your company solve for the agency? Give an example of past work  Let them know about your company’s knowledge How Do You Do It: Tell them a short story of how your company is unique. Call For Action: Ask for an appointment, referral, or presentation after you have completed your pitch. Remember To Be Clear And Concise Do not spend too much time trying to explain complex terminology that is very industry-specific. The elevator pitch should be so simple that any random person on the street can understand exactly what you are trying to convey. This is important because it makes sure that you keep the attention of the listener, no matter what their level of expertise. Practice Makes Perfect Now that you have a short clear and concise message, it is time to practice in front of the mirror. Many people find talking to themselves in front of a mirror to be silly and unpleasant. However, this is the best way to learn your elevator pitch until it becomes second nature. It will help you with things like smiling at the right moment and making pleasant eye contact.  Practice until you eliminate awkwardness and the words like “umm” from the elevator pitch. Make sure that you speak with enthusiasm in your voice. You want to make sure the listener understands the passion you feel for your business and make it sound very natural and organic. 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. Convey What Makes You Stand Out From The Crowd You should also include what makes you unique from your competitors. Make sure you do not mention your competition by name or say negative things about them in general. Being classy is always a great way to make a good first impression. Instead, you should focus on what makes you different and how the agency can benefit from your particular company. It also makes the listener aware that you have knowledge of the industry and makes you less likely to be caught off guard by industry-related questions. 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. 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. Make Sure You Have Your CAGE Code (Commercial and Government Entity) This code is five characters and unique to your business. It’s 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 unique code, and each location must be registered separately with SAM. Require 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 not registered in SAM.  Sam Directory will help guide you through this process so you can spend your time preparing to win these lucrative government… Continue reading Understanding The Importance Of The Elevator Pitch For Government Contractors

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. Make Use Of Government-Provided Free Tools. You can identify contracting opportunities online by utilizing tools such as this forecasting tool that lets you see what opportunities are available. You can study the government contracts that are a couple of years old to see what requirements are needed to win the job. This puts you in an excellent position to have all your research completed when the contract is about to expire and you put in your proposal. Things To Do Before The Requests For Proposal Or The RFP Is Released. You should always ask the following questions to fully understand how you are going to structure your winning proposal: What is the top priority, quality, price, or speed? What problem can you solve for the government using your product or service? Do you need to team up with anyone else? How is the proposal going to be scored by the agency? What are the agency’s operating policies? Who is the agency’s current contractor for this particular good or service?  The Structure of Government Requests for Proposals. Each proposal has three sections: The Scope of Services Instructions- Make sure that you follow all instructions carefully and with precise details Evaluation -This is how the government will score your proposal The Scope of Services This is where you will explain how you plan on completing the work or providing the goods that are being acquired. It is the most important part of the proposal. You must list and provide evidence of core competencies and how you can effectively help the agency reach its desired outcome in the allotted time. This is the time for your business to show your innovation and creativity. You also need to keep in mind that the government does not want to waste money and keep your pricing competitive. One of the ways to stand out is by identifying your employees and listing their qualifications. Make a strong case for why your people are the best at what they do and why the government is in good hands. Remember, you hired this personnel, so no one knows better than you how awesome your team can be at completing the proposal. The Key To Winning A Government Contract Is To Pay Attention To Guidelines You must read closely what the request for proposals or RFPs want in your bid. Make sure that you are aware of deadlines and who is handling the requests. Usually, small businesses have 6 to 8 weeks to submit a bid, but this can vary, depending on the agency.  Simplified Procedures In 1994 the Federal Acquisition Act FASA simplified the buying procedures of the government. Many of the more harsh restrictions on government purchases were removed for any purchase less than $100,000. Now agencies use much simpler procedures for analyzing and soliciting bids up to $100,000. However, the government is still required to advertise all purchases over $25,000 at www.fbo.gov. These simplified procedures mean that approval levels are lower, there is much less documentation, and administrative details are not as complex. The government now has to reserve purchases that are between $2,500 and $100,000 for small businesses. The exception is the contracting officer cannot obtain offers from two or more small businesses that are competitive in price and quality. Purchases that do not exceed $2,500 individually or through the combination of multiple items are considered micro-purchases. These do not require competitive quotes but are not limited to small businesses. Micro-purchases are often made using government-issued purchase cards or typical credit cards. Consolidated Purchasing Programs Just like any other organization, the federal government has common purchasing needs such as petroleum products, carpets, furniture, perishable goods, and standard office supplies.  For this reason, it made sense to centralize the purchasing of various types of common products and services. Some new procurement models for acquisition include multi-agency contracts and government-wide acquisition contracts or GWACs. These types of contracts help obtain long-term vendor agreements with fewer vendors. The GWACs have become very popular because they allow government buyers to quickly fill requirements by issuing orders against existing contracts or schedules without starting a new procurement action from scratch. Agencies can now competitively award several or multiple task order contracts to different firms for the same products and services. This practice allows federal buyers to issue orders to anyone or a combination of several firms with relative ease. Government Contracts Can Be Very Lucrative For Small Businesses The United States government issues 500 billion dollars in federal contracts every year. They also set aside 23 billion dollars specifically for small businesses. However, many small businesses find the process of winning government contracts daunting and give up before even really trying.  To do 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, 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 easy for you. Sam Directory will happily guide you through this often confusing process. Sam Directory will guide you through the process of writing a successful government contract proposal. We are invested in your success and want to help you succeed in winning a lucrative federal contract.

The Government Is Required To Set Aside A Certain Percentage Of Contracts For Women-Owned Small Businesses At least five percent of government contracts have to be awarded to women-owned small businesses. To qualify for these set-asides, a business must have the following: Meet small business size standard for primary NAICS code and contract At least 51% unconditionally and directly owned by women who are U.S. citizens* The woman must manage the day-to-day operations The woman must make long-term decisions for the business A woman must hold the highest officer position The woman must work at the business full-time during normal working hours To qualify as economically disadvantaged through the EDWOSB program, a woman must meet these requirements: Have a personal net worth of $750,000 or less. The fair market value of all assets must be $6 million or less. Have an adjusted gross yearly income (averaged over the three years before the certification) of less than $350,000.  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. What Qualifies As A Small Business? To be considered a small business, a company has to meet the following requirements: A business must meet small business size standards. Part of a business must be within the U.S. A business must operate mainly within the U.S. or make a significant contribution to the U.S. economy through the payment of taxes or the use of American products, materials, or labor. A business must be independently owned and operated. A business cannot be dominant in its field on a national basis. The first thing a small business must do to qualify for government contracts is to register with the SAM Directory. Make Sure You Receive Certification To be eligible to compete for woman-owned small business set-asides or receive sole-source awards, you must either be certified by a Small Business Administration (SBA) approved Third-Party Certifier (TPC), OR self-certify following current SBA regulations. There are currently four SBA-approved TPCs. They are:        El Paso Hispanic Chamber of Commerce        National Women Business Owners Corporation        US Women’s Chamber of Commerce        Women’s Business Enterprise National Council (WBENC) You can learn more about the requirements for the government’s woman-owned small business certification requirements on the SBA’s website. Being an entrepreneur is exciting but also presents its unique challenges. Financing can be a significant obstacle that is often not easy to overcome. However, the more money you have at your disposal, the more options available to make sure your business is on the right path to success. Unfortunately, many companies never properly explore the field of government grants. Instead, they assume they do not qualify for grants and never even try to apply. Registering With SAM Directory Also Gives You Access To Valuable Grants Government grants are similar to free money from the government that you do not have to pay back. However, you have to register in SAM before applying for Federal Grants. For example, here is a listing of the best government grants for women: Grants.gov National Association for the Self-Employed Growth Grants Eileen Fisher Women-Owned Business Grant Program Amber Grant IdeaCafe Grant #GIRLBOSS Foundation Grant Cartier Women’s Initiative Award GrantsforWomen.org FedEx Small Business Grant Read our article, Government Grants, A Guide to Free Money! to learn more about how registering for SAM can help provide great funding opportunities for your business. What is a Government Grant? A government grant is a financial award given by the federal, state, or local government authority for a worthwhile project. It is a gift that does not include technical assistance or other financial assistance, such as a loan or loan guarantee, an interest rate subsidy, direct appropriation, or revenue sharing. The grantee is not expected to repay the money. Why is the government giving away free money? Innovation and ingenuity are essential to any society. For any economy to be competitive in the modern world, it must open up avenues to grow and nurture new businesses. To put it simply, the government gives out grants because it serves the greater good to suit the needs of the people. Grants are a great way to even the playing field. We have all heard stories about great entrepreneurs with relatively humble beginnings. Grants are in place because few people have the capital to start a business without some assistance. This is particularly true for minorities and women who might have faced discrimination in the past that hindered them from pursuing their business goals. Here is a listing of the best government grants for women: Grants.gov National Association for the Self-Employed Growth Grants Eileen Fisher Women-Owned Business Grant Program Amber Grant IdeaCafe Grant #GIRLBOSS Foundation Grant Cartier Women’s Initiative Award GrantsforWomen.org FedEx Small Business Grant The Halstead Grant Is it challenging to obtain a Grant? In truth, grants can be very competitive. It is important to read instructions to understand the application process thoroughly. You do not want your grant application to be thrown out because you did not provide the correct paperwork or information. A small business should also be aware of deadlines. However, please do not let a challenging application dissuade you from trying to qualify for grants. There is nothing more accurate than the saying about never making any of the shots you don’t take. Some websites can help you through the process. What Is The SAM Directory? 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. The government will not hire any type of business that has not registered in the SAM directory. We have an article on… Continue reading Why Government Contracting Is A Great Opportunity For Women

Protesting A Bid Or Award You must be an interested party, which means a prospective bidder who will be affected by the award economically. This usually means you will receive the award if your protests are sustained. One such challenge would be that the bid was defective. A defective bid can include the following: The omission of a required provision The ambiguity of Important facts Indefinite evaluation factors. The termination of a contract may also be protested if the protest alleges that the termination was based on improprieties in the award of the contract. This means that you can protest the bid, award, or termination of the contract. Make sure that you are very aware of the deadlines set for a protest. Protesting  A Defective Bid These are some common grounds for a defective bid: The bid is not detailed enough or vague: It’s too detailed: SOW too long It’s too restrictive: it uses standards or specs that are not needed. More time is needed to respond. It contains ambiguous statements: which do you want? There are many brand names or equal issues. There are small business issues: such as Hubzone and wrong size standard Failure to meet small business set-asides Procedures Of Protest The government wants to ensure that public funds are utilized in a manner that is fair. This means that protests to solicitations will be handled as quickly and efficiently as possible. So the government encourages all parties to resolve issues with contracting officers of the agency with open discussion. The agency is also encouraged to resolve these matters in a fair and efficient manner. What Of The Timing Of The Protest In The Contracting Process? A protest received before the award of the contract means that the contract will not be awarded until there is a decision on the protest. This is bypassed if the items or services of the contract are urgently needed, and a delay in performance will cause unneeded harm.  If the protest is received within ten days of the award of the contract, then the performance of the contract will be suspended until the protest is resolved. It is on the contracting officer to notify all the other eligible parties affected by this suspension of performance due to the protest. If a protest is received ten days after the contract is awarded, the agency procedures will determine the handling of the protest. The contract performance might not be suspended or terminated in these cases unless it is likely that the award will be invalidated and the delay will not be prejudicial to the government’s interest. General Accounting Office Although it is highly encouraged that companies seek resolution within the contracting agency, if this proves ineffective, then a company can file a protest with the General Accounting Office or GAO.  However, you must understand that if you totally bypass the agency and go to the GAO, then the GAO’s decision is final. This means that you will not be allowed to appeal the GAO, and this ruling will be final. This means that it is usually more advantageous for a company to go through the contracting agency than to go directly to the GAO. Going through the original agency also allows a company more time to gather the information that can help if later protests go to another type of forum. Matters that can not be protested to the GAO: An affirmative determination of responsibility by the contracting officer — A determination that a bidder is capable of performing a contract will not be reviewed unless there is a showing of possible bad faith on the part of government officials or that definitive responsibility criterion in the solicitation was not met. Procurement integrity — Protests not filed within the required time limits Make sure you read the second part of this series to find out more about disputing or protesting a contract award. What Is The Difference Between A Protest vs. A Dispute? A protest involves a defective bid or awarding a contract to a different bidder. In contrast, a dispute consists of an issue with the contracting officer that arises after you have been awarded the government contract. The following are the three Federal Bid protest Levels: Judicial action was brought to the United States Court of Federal Claims (COFC). Protest filed with the (GAO) Government Accountability Office. An agency-Level objection was filed with the agency conducting the procurement. It is important to note that a protest must be filed within ten days after the basis of the rally is known or should be known. Any objections that exceed this 10-day limit will automatically be thrown out. If you want to go forward, you must go to a higher level, like the United States Court of Federal Claims. Decision To Protest If you 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 an excellent idea to consult with your legal counsel.  If you 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 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 related 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 under or relating to the contract.” How Do You Get Started Working With The Government? 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. The government will not hire any type… Continue reading What Happens When You Disagree With A Government Contracting Decision?