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.
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.
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.
The Federal Government Offers Great Opportunities For Many Types Of Businesses
The government 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 underserved groups to have a real chance to get awarded lucrative government contracts.
The Government Is Fantastic For New Businesses
The government has a lot of demand but it goes out of its way to make sure all competition is open and fair. It will need to work with almost any business for products and services with competitive pricing.
The United States government is known for running with high levels of precision and accuracy. Making sure the government contracts are fulfilled is a great way for a new small business to streamline its process and delivery methods.
Working With The Government Is Great For Marketing
The government is one of the most powerful consumers in the world. Being a government contractor is a wonderful way for any business to grow its reputation in the digital marketplace as well as other forms of advertising. It is a fantastic way to build a strong reputation in a relatively short amount of time.
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.
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.
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 money!
What Information Does A New Business Need to Register For SAM?
A business must understand the government classification system which includes the following codes:
- NAICS
- PSC
- FSC
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.
How Can A New Business Easily Register For SAM Without All the Hassle?
All this information can at first seem quite daunting at first. We understand that as a small business owner, you have a million things to accomplish on any given day. However, you also do not want to miss out on the honey hole of opportunities provided by the federal government. You must get registered into the SAM directory as quickly and efficiently as possible.
That is why it is a great idea to go to sam. directory. They understand the importance of proper SAM registration and take this confusing process off your hands completely. This website can make sure you are registered in as little as two days. If you still have questions, sam.directory will be more than happy to guide you through this often bewildering maze of registration. The consultation is free and you have nothing to lose.